As part of a run of policies announced during his first week in 10 Downing Street aimed at cutting the cost of living and supporting economic growth, Andy Burnham has pledged to cut business rates bills for pubs, social clubs and live music venues by 20% from April next year.
In Luton South and South Bedfordshire and beyond, I’ve seen how the pubs, social clubs, and live music venues that form the backbone of our local high streets have struggled with business rates and rising costs. They are vital in sustaining united, thriving communities in places like ours, so I warmly welcome the Prime Minister’s commitment to give them the support they deserve.
The newly announced tax cuts are set to benefit around 3,000 such venues across the East of England, saving the typical pub an estimated £1,100 in the next financial year and offering more certainty for businesses looking to invest, grow and create jobs. This announcement is just one element of this Government’s wider plan to drive good growth in every postcode by reducing the burden on local businesses, boosting investment on high streets and helping communities to thrive.
These changes will be fully funded, including through reviewing reliefs for businesses that do not make a positive contribution to local communities, such as vape shops. The Government will also crack down on businesses that sell through online marketplaces but do not comply with their tax obligations, putting them at an unfair advantage over businesses that play by the rules.
Alongside other actions including removing VAT from domestic electricity bills and bringing back the £2 bus fare cap, this shows the Labour Government’s commitment to tackling the cost of living in places like Luton South and South Bedfordshire.