US EditionSix hospitality firms a day could close without rates help, warns trade group
Rising property tax rates could close 2,076 UK hospitality venues in 2026, with an average hotel facing a £28,900 increase, UK Hospitality warns.
- On April 1, UK Hospitality estimated 2,076 firms could close in 2026, risking 293 restaurants, 574 hotels, and 540 pubs, equivalent to six closures daily.
- Policy shifts to revalue properties and end Covid-era discounts announced by Chancellor Rachel Reeves in November drive rate increases, with ministers having set up a £4.3 billion fund, and Ms Reeves expected to soon announce more support.
- The group calculates the average hotel will face a £28,900 rise in 2026 and a £205,200 increase over three years, urging the government to raise the business rates discount from 5p to 20p.
- Kate Nicholls warned `Staggering increases to business rates will affect the entire hospitality sector and without a hospitality-wide solution, we will see significant business closures,` citing rising National Insurance Contributions, wages and energy costs.
- Amid industry pressure, the trade body urged wider support as the UK Government is expected to announce a package within days, marking a U-turn on its November 26 budget plans.
12 Articles
12 Articles
UKH warns of over 2,000 closures without business rates relief
More than 2,000 hospitality venues could close over the coming year unless the government introduces sector-wide relief on business rates, according to new analysis from UKHospitality. The trade body said modelling suggests 2,076 closures in 2026, equivalent to around six venues a day, driven by sharp increases in business rates due to take effect in April. The forecast includes 963 restaurants, 574 hotels and 540 pubs. UKH said the rises would …
Hospitality Set For 2,076 Closures, Without Sector-Wide Business Rates Solution - CLH News: Caterer, Licensee and Hotelier News - News for Pubs, Bars, Hotels and Restaurants
Share Post Share Email Over 2,000 hospitality venues could close their doors during 20216 according to new modelling from sector body UKHospitality. The analysis reveals that six hospitality venues could close every day throughout this year, with the scale of potential closures and forecasts revealing that 963 restaurants, 574 hotels and 540 pubs would be set to close if the Government doesn’t introduce a hospi…
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