Greater Manchester mayor Andy Burnham has called for a cut to VAT and business rates for UK hospitality businesses, urging legislators to bring taxes in line with their European counterparts.
Speaking at the Night Time Economy Summit, Burnham told attendees that he would support a permanent reduction in rates for the sector, in order to help SMEs contribute positively to their local area.
“I would argue for a VAT rate more consistent with what you find in Europe, because of the social value that your businesses bring to towns that need that life injected into them,” said Burnham. “I personally would support a permanently lower business rates regime for hospitality for exactly the same reason.”
Referring to the ten-year masterplan to regenerate the Manchester suburb of Farnworth, Burnham said “there’s a row of empty shops waiting to be filled, linked to that amazing new development.”
“If those lower rates were in place, immediately there’s an incentive for your businesses to come in and fill those spaces, and that brings benefits to not just the new residents in those places, but the older residents that are using those places during the daytime.”
Welcoming Burnham’s support, the Night Time Industries Association said “two million UK jobs depend on hospitality, yet venues are still closing. Europe backs its sector. The UK must too.”
Originally published on Coinslot on March 9, 2026. Republished with permission.