Review launched into how pub and hotel business rates calculated

The UK government has launched a review into how business rates are calculated for pubs and hotels in England and Wales. Industry groups have long argued that the current system, based on 'Fair Maintainable Trade', places a disproportionate financial burden on the hospitality sector.
Why it matters
This review could lead to significant tax reform for the hospitality industry, potentially impacting the survival of small businesses and local pubs.
Image source, Getty Images By Nick Edser Business reporter Published 24 August 2026, 00:26 BST Updated 1 hour ago A review is being launched into the way business rates are calculated for pubs and hotels in England and Wales, and could lead to a reform of the system.
The Treasury says business rates expert Jerry Schurder will lead the review into rate valuations and report back in March 2027, with the government calling for the views of landlords, hoteliers and business owners to feed in to the process.
Last month, Andy Burnham announced a 20% cut in business rates for pubs , social clubs and live music venues in England, to come into effect in April.
Pub groups have argued they face disproportionately higher rates bills, but other businesses have called for a wider reform of the rates system.
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