The chair of the British Beer and Pub Association has warned the impact of the Budget could be “existential” for many small operators across the UK, with business rate adjustments nowhere near sufficient to mitigate against rising costs.
Speaking to This is Money, Nick Mackenzie criticised the “shocking” decision by the Government not to provide greater support to the industry, urging the Chancellor to consider a 20p multiplier discount.
“It’s bitterly disappointing this Budget has done so little to boost the nation’s pubs,” said Mackenzie. “And, worst of all, to discover that some of the most disadvantaged are small, independent pubs.”
“The Government knows the rates system is outdated and unfair, disproportionately burdening pubs. This is because they are calculated with rateable values based on a pub’s turnover, which can be very high, rather than profits, which are now incredibly slim due to such high costs.”
Mackenzie added the 5p discount on the business rates multiplier is “nowhere near sufficient,” and has been cancelled out for most pubs by the rates revaluation, especially those operating smaller venues.
“We have spoken to many of them over the last week who say cost increases now feel existential. They may be receiving initial relief for the next couple of years, but will see their rates skyrocket in three years’ time – with some seeing increases of over 90 percent.”
“This isn’t the relief or reform we were promised, and it could be the tipping point that changes the shape of the industry forever.”
Originally published on Coinslot on December 15, 2025. Republished with permission.