Limiting tax support to pubs 'makes no sense'
LDRSRestaurants, hotels, and cafes are at risk of becoming "unsustainable" after being excluded from financial support from the Government, industry leaders in north-east England fear.
Chancellor Rachel Reeves announced pubs and live music venues will receive a 15% discount on their new business rate bills from April, following warnings that mounting costs could spark a wave of closures.
But the support has not been extended to other hospitality businesses, leading one to claim the move "doesn't make sense".
The Treasury said it planned to publish a wider High Streets Strategy later this year.
Ollie Vaulkhard, whose Vaulkhard Group runs venues including Barluga and the Bridge Tavern, called the Treasury's commitment to just a part of the hospitality sector "underwhelming" and "incoherent".
He told the Local Democracy Reporting Service: "We have not yet found a definition of what a pub is.
"And why is a coffee shop or a restaurant left struggling more than a pub or a music venue? It doesn't make sense."
'Slow death march'
Stephen Patterson, CEO of NE1 Ltd, the Business Improvement District company for Newcastle City Centre, said: "It is encouraging that the chancellor has listened to our concerns and the calls from businesses to offer some concessions to the pub trade and music venues."
However, he said the measures do not fix fundamental problems with the business rates system and many companies feel they face a "slow death march to oblivion".
The chancellor's offer of support this week came after she had previously announced changes in the Budget that would increase business rates.
When asked why help would not be extended to other businesses, Reeves said pubs "are different" and a "huge community asset".
But Emma Lewell, the Labour MP for South Shields, said: "Government support must expand to the whole sector, not just pubs and music venues."
A Treasury spokesperson said the government's package will stop bills rising for over half of business properties.
They added: "We will look at how hotels are valued for business rates to make sure the system is fair.
"Later this year we'll publish a new High Streets Strategy to do even more to back Britain's high streets."
