UK PM Burnham announces business rates cut for pubs and venues
On Thursday, UK Prime Minister Andy Burnham revealed a 20% reduction in business rates for pubs, clubs, and live music venues, a move aimed at alleviating the ongoing cost of living crisis. This reduction is projected to save around 32,000 hospitality establishments about £1,100 each year, though it will impose a £100 million annual burden on government finances. The source of funding for this cut remains unspecified by ministers. This announcement marks Burnham's third policy initiative since taking office on Monday, following a cap on most bus fares in England and the elimination of VAT on household electricity bills. After assuming power in July 2024, Burnham is under pressure to fulfill Labour's commitment to rejuvenating the economy. Ian Hoskins, who owns the Ma Pub Group in Liverpool, described the cut as merely a 'drop in the ocean.'
Key facts
- UK PM Andy Burnham announced a 20% cut to business rates for pubs, clubs, and live music venues.
- The cut is expected to save 32,000 hospitality businesses around £1,100 per year.
- The cut will cost government finances an estimated £100 million a year.
- Ministers did not explain how the cut would be funded.
- This is the third policy announcement since Burnham became PM on Monday.
- Previous announcements include a cap on bus fares in England and removal of VAT on electricity bills.
- Burnham became prime minister on Monday.
- Labour won power in July 2024 after 14 years in opposition.
- Ian Hoskins, owner of Ma Pub Group in Liverpool, called the cut a 'drop in the ocean'.
Entities
Institutions
- UK government
- Labour Party
- Ma Pub Group
- Sky News
- South China Morning Post
Locations
- United Kingdom
- England
- Liverpool
- London