New analysis from Ryan shows the total number of pubs liable for business rates fell from 38,989 at the end of December 2024 to 38,623 by the end of December 2025, a loss of 366 pubs in the calendar year. The figures include premises that are vacant or being marketed to let.
The data highlights the continued contraction of the pub estate, with almost 2,000 pubs disappearing over the past five years, despite a modest slowing in the rate of decline.
The losses come ahead of the full impact of higher rateable values and changes to business rates relief due to take effect from April 2026.
Permanent closures
Ryan’s practice leader for Europe and Asia Pacific property tax, Alex Probyn, said the figures reflect permanent losses rather than short term trading suspensions.
“These pubs have closed permanently, not temporarily. The buildings have been demolished or converted into housing, offices, nurseries, cafés or other uses. Once repurposed, they almost never return to pub use,” he said.
Every region of England and Wales recorded a net loss of pubs during 2025, with the largest declines seen in the East Midlands, North West and Yorkshire and the Humber.
Pressures mount
The closures come as the sector braces for the 2026 business rates revaluation. Under the draft local rating lists for pubs in England and Wales, the average pub rateable value is set to rise by 30%, from £30,945 to £40,245, while total pub rateable value increases by £364.75m, from £1.214bn to £1.578bn.
These increases coincide with the abolition of the 40% retail, hospitality and leisure relief, previously capped at £110k per business.
Probyn said the figures should act as a warning to policymakers.
“This data should serve as a wake-up call. It reflects deep structural pressures on pubs. Many survived the pandemic through resilience and community support, only to be pushed to the brink by rising costs and a rating system that no longer reflects economic reality.
“Turnover for many pubs has recovered, but profitability hasn’t. When rising wages, energy costs, alcohol duty and thinner margins collide with a 30% rise in rateable values and the loss of reliefs, the maths simply doesn’t work.”
Ryan said the scale of closures strengthens the case for reform of how pubs are assessed for business rates, calling for a full receipts and expenditure valuation approach that better reflects real world viability rather than relying primarily on turnover.
The firm warned that without reform, hundreds more community pubs could be lost in the years ahead, further reducing local employment, social infrastructure and the long-term resilience of the sector.
