BII reacts to Andy Burnham cutting business rates for pubs by 20%

Following the announcement this morning from the Prime Minister, Andy Burnham, that he will be giving pubs and live music venues an additional 20% discount on their business rates bills from April next year, BII CEO, Steve Alton has commented on what this will mean for BII members and pubs across the UK:

"Our members, operating independent pubs at the heart of their communities in towns and high streets across the UK, will be encouraged by this initial step taken by the new Prime Minister in his first few days in office. The recognition he has given to the vital role that pubs play in local economies, local employment and the huge social value they bring to their communities is welcome.

"However, even with this additional 20% discount on current bill levels, we now need to see a significant change to the cumulative taxation faced by our sector, to allow our nations' pubs to have the ability to grow and reach their full potential. With the average salary of a 21-year-old having increased by almost £5,000 over the last 2 budgets plus the significant increases in NICs costs for employers, the discount on business rates bills, whilst a welcome step, can only be the beginning of the changes we need to see for our members.

"In order for pubs to be able to support local employment growth, particularly for young people beginning their careers, we need to see significant change to the overall tax burden they face. Our members have been clear and consistent in their calls for an urgent need to reduce their cumulative tax bill with a priority of a fair deal of VAT at 10% on all pub sales. This will be essential to provide the breathing space these vital local businesses need to grow and be at the heart of economic growth, as well as providing essential employment for young people in every postcode across the country."

Notes to the editor:

About the British Institute of Innkeeping:

The BII is the leading independent licensee support organisation for individuals working in hospitality, with over 13,500 individual members running premises across the UK - predominantly tenanted, leased, managed and freehold pubs. The organisation provides expert helplines, online business support, and guidance on key industry issues, and savings on a range of supply deals for its members, keeping pubs thriving in the heart of every community.

For more information:

Molly Davis, Head of Communications, BII

Sentinel House, Ancells Business Park, Harvest Crescent, Fleet, GU51 2UZ

Mob: 07539 377752

Web: www.bii.org

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