Government to cut business rates for pubs, clubs and music venues
The UK government has announced a 20% cut to business rates for pubs, clubs, and live music venues starting in April. The £100m initiative aims to support local high streets and will be funded by adjusting tax relief for businesses like vape shops.
Why it matters
This policy directly impacts the financial viability of the hospitality sector in the UK, which has struggled with rising operational costs and post-pandemic economic pressures.
Image source, Getty Images By Henry Zeffman , Chief political correspondent and Archie Mitchell , Business reporter Published 23 July 2026, 09:48 BST Updated 50 minutes ago Pubs, clubs and live music venues in England will be given a 20% cut to business rates from April, which the government estimates will save firms around £1,100 next year.
In his third policy announcement since becoming prime minister, Andy Burnham said: "For too long, governments have stood by while cherished venues have disappeared from our local high streets."
The cut will cost £100m and will be funded by a review of tax relief on firms such as vape shops which "do not make a positive contribution to local communities", the government said.
Hospitality bosses welcomed the support, but some pub owners said the package would not go far enough to offset the impact of cost increases elsewhere.
Get smarter about the news
Sign up free for a feed built around what you actually care about, Dive Deeper research on any story, and the full text of every article.
Create free accountAlready have an account? Sign in