Treasury review to deliver fairer business rates for pubs and hotels

I am pleased to welcome the Treasury’s announcement of a new independent review into how business rates are assessed for pubs and hotels, following many conversations I’ve had with hospitality businesses across North West Leicestershire.

Since being elected, I have made it a priority to visit local pubs, hotels and hospitality venues, listening directly to business owners about the challenges they face. Time and again, I have heard concerns about the business rates system, particularly around major increases in rateable values and the uncertainty that can make it harder for businesses to plan, invest and grow.

As a result, I have been feeding those concerns directly back to the Treasury and making the case for a system that better reflects the realities of running a modern hospitality business.

Today’s announcement is an important step forward.

The independent review, led by respected business rates expert Jerry Schurder, will examine whether the current approach to valuing pubs and hotels is fair, transparent and fit for purpose. The review follows concerns across the sector after significant increases in rateable values at the 2026 revaluation, and recognises that the current methodology may not adequately reflect the way many hospitality businesses operate today.

Our local pubs, hotels, social clubs and hospitality venues are at the heart of communities across North West Leicestershire. They provide employment, support local suppliers and bring people into our town centres and villages. But they are also much more than that. They are spaces where people come together to celebrate, socialise and connect with their communities.

That is why it is so important that they have a business rates system that is fair, predictable and supports long-term investment.

The review will report back to the Treasury by March 2027, ahead of the next business rates revaluation in 2029. Alongside the review, the Government has also launched a Call for Evidence, giving landlords, brewers, hoteliers and hospitality business owners the opportunity to share their experiences and help shape future policy.

This announcement builds on further support announced by the Government last month, including a 20% reduction in business rates bills for pubs, social clubs and live music venues from April 2027. This follows a 15% reduction introduced earlier this year and a two-year real-terms freeze in business rates.

I would encourage hospitality businesses across North West Leicestershire to take part in the review and make their voices heard. The deadline for submissions to the Treasury’s Call for Evidence is 16 October 2026.

I will continue working with local businesses and Ministers to ensure that North West Leicestershire’s hospitality sector has the support it needs to thrive.

You can provide evidence here: https://www.gov.uk/government/calls-for-evidence/valuation-methodology-review-for-pubs-and-hotels