The UK Statistics Authority has responded to claims that Rachel Reeves misled the public over tax increases on hospitality, stating there were “opportunities for improvements” in the Chancellor’s comments regarding business rates.
Reeves had stated the Treasury was implementing the lowest rates in 35 years, however the UKSA found that though it was “correct” that multiplier rates were lower, business rates “are likely to rise” across the retail, hospitality and leisure sectors.
“There were opportunities for improvements to be made to support understanding of the data and avoid the potential for people to be misled,” said UKSA deputy chair Penny Young.
“Our conclusion is that to support public understanding, statements should have been clearer as to whether they referred to changes to the tax rates (i.e. multiplier) specifically or the changes to business rates more broadly, as the tax paid as a result of the latter might increase despite the reduction of the multiplier.”
Young outlined the watchdog’s conclusions in a letter to James Cleverley, the Conservative MP, who had written to the UKSA at the time of the Budget to contest Reeves’ statement that “lower tax rates for over 750,000 retail, hospitality and leisure properties – the lowest rates since 1991.”
Originally published on Coinslot on February 23, 2026. Republished with permission.