Angela Rayner has urged the Government to provide more support to the nighttime economy as struggling establishments are facing a “triple blow” of escalating expenses. The former Deputy PM highlighted the challenges posed by business rates, VAT and minimum wage increases, and called on Keir Starmer to assign a dedicated minister for the industry. During an event in Liverpool, she emphasized the need to acknowledge the industry’s economic, cultural, and social significance and emphasized the importance of crafting policies in collaboration with industry stakeholders.

Manchester Mayor Andy Burnham also weighed in on the matter, suggesting that the business rates exemption for pubs should be extended to all hospitality venues to maintain a diverse economic landscape. Rachel Reeves announced a lifeline for financially strained pubs by offering a 15% discount on business rates bills, following a backlash from landlords over the removal of a pandemic-related discount in the Budget. This move, supported by the Treasury, could save landlords up to £1,650 in 2026/27, with calls to broaden its scope to benefit the entire hospitality sector.

The Mirror has been actively advocating for the industry through its Your Pub Needs You campaign. The Government recently introduced a 15% business rates discount starting in April, accompanied by a freeze on rates for the following two years, with a promise to reassess the valuation model for pubs.

Angela Rayner, a key figure in workers’ rights reforms, suggested that the Government should take more decisive actions in addressing the challenges faced by businesses. She emphasized the need to alleviate the burdens posed by business rates, VAT, minimum wage hikes, and energy costs on the industry.

Rayner proposed a more flexible licensing approach for the sector and advocated for the appointment of a dedicated minister to represent the nighttime economy nationally. She underscored the pivotal role of the hospitality sector in revitalizing high streets and communities, calling for policies that support and enhance its contributions.

During the same event, Andy Burnham supported the idea of aligning VAT rates with European standards to reflect the social value that businesses bring to local communities. He also expressed his backing for a permanent reduction in business rates for hospitality businesses to sustain their positive impact on local economies.