MPs' report warns 'up to 20,000' pubs could close if business rates not reformed

11th May 2022

A report by a group of MPs has warned that up to 20,000 UK pubs could be at risk of closure if the government fails to reform the business rates system.

Ahead of the chancellor's spring statement on Wednesday (23 March), the All-Party Parliamentary Beer Group (APPBG) said the current system was threatening the future of pubs while online businesses pay less tax. Its report found that the average pub pays 3% of its turnover on rates alone, with some paying up to 10%, while online retailer Amazon paid 2% tax on its 2020 turnover of almost £21b.

The group of MPs is calling for the introduction of an online sales tax and a new and specific rates multiplier for pubs, closer to the 1990s level of 32p per pound of rateable value. It is calling for greater transparency and Valuation Office Agency resources to support the current system of valuation for pubs.

See the full article at https://www.thecaterer.com/news/pubs-business-rates-report-mps

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