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Hospitality Rates Set to Soar After Revaluation, Triggering Backlash and Closure Warnings

Higher rateable values are outweighing the Budget’s multiplier cut for many venues.

Overview

  • UK Hospitality’s analysis projects the average venue will pay about £32,714 more over three years, with the typical bill nearly doubling to around £40,409 by 2028.
  • Government figures show next year’s average hospitality bill rising about 15% to £20,835, then to £23,961 in 2026–27 before jumping further by 2028–29.
  • The Valuation Office Agency’s revaluation lifted rateable values by an average 19.2% nationally, while a York BID study found a 41% rise for city-centre hospitality properties and documented bills doubling at individual pubs.
  • Ministers cite a 5p multiplier cut, a first‑year cap on bill increases and a £4.3bn support package, but sector leaders argue the measures fail to offset sharply higher valuations.
  • Political and public pressure is intensifying as York MP Rachael Maskell gathers evidence and secures a ministerial meeting, and landlords bar Labour MPs after reporting increases such as a £2,500 rise at a Leeds pub.