Voices: ‘It’s just not worth it’: Readers say Andy Burnham’s pub rates cut is too little, too late

The Independent ·

Andy Burnham’s plan to cut business rates by 20 per cent for pubs, clubs and live music venues has prompted mixed reactions from Independent readers. Supporters said it could help prevent closures and protect venues’ wider role as community spaces, while critics argued the relief is too limited to offset growing tax, energy and operating costs.

The policy is expected to cover almost 32,000 hospitality businesses, with an average annual saving of £1,100. Readers noted that this may provide short-term help but questioned whether it would lower prices for customers or address pressures including VAT, national insurance changes and previous rate rises; some also argued that continued tax support for hospitality is poor long-term economic policy.

In short

  • Readers welcome help but doubt it will solve pubs’ financial pressures.
  • Nearly 32,000 businesses could save £1,100 annually.
  • Some question whether the tax cut is economically sustainable.

Steelman: both sides, in good faith

The strongest fair case each way — we don't pick a winner.

The case for

Supporters argue that a 20 per cent rates cut offers timely, practical relief to pubs, clubs and music venues facing unusually tight margins, and could avert some closures even if it is not a complete solution. They see these businesses as more than commercial premises: they provide local jobs, social connection and cultural space, so preserving them can justify targeted public support. A modest saving may also give operators breathing room while wider cost pressures are addressed.

The case against

Critics argue that an average saving of £1,100 is too small to materially change decisions for venues burdened by high energy bills, wages, VAT, national insurance and previous increases in rates. They question whether temporary, sector-specific tax relief will reach customers through lower prices or simply postpone closures without fixing the underlying cost base. From this perspective, repeated subsidies for hospitality risk distorting policy and may be less effective than broader reforms that support viable businesses across the economy.

Explained simply

Business rates are annual taxes that property owners and businesses must pay to local councils, and they have become a major cost for pubs, clubs and live music venues across the country. Many of these establishments have struggled financially in recent years due to rising energy bills, staffing costs and other pressures, leading to some closures and reducing the entertainment venues available in local communities.

Andy Burnham, the mayor of Greater Manchester, has proposed cutting business rates by 20 per cent for hospitality venues in his region, affecting roughly 32,000 businesses and providing each venue with an average saving of around £1,100 per year. The proposal aims to ease financial pressure on these establishments and help preserve them as important community spaces where people gather and enjoy entertainment.

Reader reactions are mixed about whether this cut helps enough. Supporters believe it could prevent further closures and maintain valued local venues, whilst critics argue that saving £1,100 annually is insufficient given other rising costs like energy bills and national insurance changes, and question whether government rate relief is the right long-term solution for hospitality businesses.

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