At an emergency summit held in London with sector chiefs on Wednesday 10 December, the BBPA called for targeted support from the Government to prevent pub closures and protect thousands of jobs.
The trade organisation estimated almost 5,000 of the nation’s smallest pubs will be hit with a business rates bill for the first time, pushing many to the brink.
For the average community pub, which will be hit by a 30% increase in Rateable Value (RV) and the loss of the vital 40% relief this revaluation, it means a 63% rise in bills, roughly £6,000 more each year.
Some pubs could see their RVs double or even triple, the trade body projected, while distribution warehouses often used by online giants face increases of just 7%.
Pub-specific relief
The summit, which followed a strongly worded letter to the Chancellor where the sector said it felt misled, has led to the BBPA calling for a 30% pub-specific relief applied to final bills from 1 April 2026.
Without this additional pub relief, the association said the tax hike meant some 15,000 jobs were at risk, adding transitional relief would not counter the “devastating impact” of the new rates.
The BBPA also estimated the sector’s total bill will increase by a further £150m by 2028/29 even after transitional support, an increase of 32%.
Last week, the BBPA asserted claims the Budget permanently lowered rates for pubs were misleading. They said the minor 5p tweak to multipliers did “nothing to fix the long-standing imbalance”, with pubs “massively overpaying”.
As costs mount and margins tighten, closures will only intensify, the industry body warned, stripping communities of essential social hubs and wiping out thousands of local jobs.
While the ratings methodology for pubs urgently needs reviewing, leaders at the summit were clear the situation is so drastic that immediate action is required.
Grave situation
In a letter to Government they said this move would require minimal changes to the current package, build on clear precedent from previous targeted reliefs, recognise the unique economic and social role pubs play and provide immediate reassurance to thousands of operators.
BBPA chief executive Emma McClarkin said: “This Budget left publicans petrified and many fearing there is no way they can survive these sky-high bill increases or keep their home.
“The situation is so grave that it requires immediate action as the very existence of thousands of pubs is at stake.
“Without urgent intervention, communities will lose their pubs at an alarming rate and take with them livelihoods and jobs.
“A 30% pub-specific relief is the simplest, fairest and fastest way to protect Britain’s locals and we want to work with Government so we can ensure the sector survives.”
