UKHospitality has welcomed legislation which paves the way for lower business rates levels for hospitality, but says there is much to do to lower all costs across the sector.
The Non-Domestic Rating (Multipliers and Private Schools) Bill received royal assent on 3rd April.
UKHospitality is asking for the maximum discount to be applied to hospitality properties with a rateable value of less than £500,000. It is also calling for those properties with a rateable value over £500,000 to be exempt from the surcharge, in line with the government’s intention to level the playing field for the sector.
“After UKHospitality campaigned for substantial business rates reform for years, legislation making this a reality is a landmark moment,” said UKHospitality chief executive, Kate Nicholls. “We’re delighted that the government is taking action to level the playing field for the hospitality sector.
“With the finer details set to be unveiled in the autumn, we are urging the government to offer the maximum discount for hospitality businesses, after decades of paying significantly more than their fair share. It should also exempt hospitality businesses from the surcharge.
“A permanently lower level of business rates will truly benefit hospitality businesses and, crucially, rebalance a system that has unfairly overtaxed the high street by billions of pounds.”
But she added: “Whilst we remain optimistic about business rates reform and its ability to give operators some of the financial headroom they desperately need, this, unfortunately, won’t scratch the surface of the £3.4bn annual cost increases hitting the hospitality sector.
“We are urging the government to work with us to bring forward a plan for hospitality businesses that will enable the sector to unlock growth and jobs.”
Board change at Shepherd Neame
Jonathon Swaine has stepped down as managing director, pubs, at Shepherd Neame.
This follows the brewer’s decision to reduce the number of its managed pubs, which has to a personnel re-organisation.
“The board would like to thank Jonathon for his contribution over the past three years, and for developing our pub business so as to be well positioned for the future,” said Shepherd Neame chairman Richard Oldfield. “We wish him well in his next endeavour.”
Stonegate finance
Turnover at pub owner Stonegate increased from £1,719,000 to £1,747,000 in the year to 29th September, 2024. Pre-exceptional operating profit was £336m, up from £293m the previous year.
“Despite the ongoing challenges in the hospitality sector, 2024 has once again demonstrated the resilience of the Great British pub,” said chief financial officer David Ross.
