In a fresh demonstration of the government’s support
for communities up and down the country,
confirmed the new Pubs Relief would be introduced in
April, with £1,000 being taken off the business rates
bills of small pubs who qualify.
As many as 18,000 pubs are expected to benefit from the
discount.
The relief will come on top of an extended retail
discount, which smaller pubs are also eligible for.
Those eligible for both reliefs will get up to £13,500
off their annual bills.
The Pubs Relief is part of a package of measures that
is being introduced by the government to support local
high streets. From April this year:
- small shops and cafes will see their bills halved
as the retail discount, currently a third off, is
extended to 50%
- music venues and cinemas will become eligible for
the retail discount
- a £1,500 discount for local newspapers office space
will be extended for a further five years
Chancellor of the Exchequer said:
Thousands of pubs will get £1,000 off their rates
bills this April, thanks to the changes we’re
announcing today.
These will mean lower rates for the small independent
shops, cafes and locals at the heart of our
communities, as well as for the local papers that are
a vital pillar in local democracy.
Community Pubs Minister said:
Pubs are front and centre of communities around the
country, the key to thousands of jobs and providing a
meeting point for local residents to get together and
enjoy a pint.
Today’s business rates cut continues our firm
commitment to support pub owners, helping to keep the
pints pouring and the locals happy.
The government is committed to launching a fundamental
review of business rates. Further details will be
announced in due course.
ONS stats released last week showed that the number of
small pubs and bars rose last year.
The support for pubs comes following the announcement
of more than £1m for community pubs. The funding will
help an estimated 100 new groups to take ownership of
and save their local, or support essential community
services in pubs in rural and remote areas.
- the pubs relief will apply to pubs with a rateable
value below £100,000 subject to eligibility. Pubs with
a rateable value of below £51,000 already get a
one-third reduction in their rates bill through the
retail discount. The £1,000 discount is in addition and
will apply after the retail discount
- in 2020-21, the Government will increase the
existing business rates retail discount (which includes
pubs) to 50 per cent, and include live music venues (up
to a rateable value of £51,000)
- all reliefs are subject to State Aid limits, which
limits the amount of support available to any business
to €200,000 over a rolling three-year period
- estimated number of beneficiaries based on previous
pubs relief, claimed by nearly 18,000 pubs in 2017
- £13,500 discount based on a pub with a rateable
value of £50,000, generating an annual rates bill of
around £25,000. Applying the 50% retail discount
reduces the bill by £12,500
- the pub would then receive the £1,000 pubs relief
on top of that
