Prime Minister Andy Burnham has announced a nationwide cut of 20% in business rates for pubs, clubs and live music venues from April, a policy he first unveiled during visits to firms in Wigan while on the campaign trail. The change, which follows a 15% relief introduced in January, is projected to benefit almost 32,000 hospitality businesses and is estimated to save a typical pub about £1,100 a year.
Local high streets and community businesses in focus
The Prime Minister framed the move as part of a wider effort to protect family-run shops and establishments that form the backbone of town centres. In his announcement he said the government would support those enterprises “people want to see in their communities.” The measure will not apply to the very largest live music venues.
“I said I would protect pubs and local high streets – the beating heart of our communities – and that’s what we will do,”
Downing Street says the relief will be funded through a review of business reliefs for firms seen as not making a positive contribution to local communities, naming vape shops as an example, and by cracking down on online marketplaces that do not meet their tax obligations. The cost to the public purse is estimated at about £100m a year.
What this means for Wigan businesses
For landlords and operators in Wigan, the announced cut builds on earlier measures aimed at reducing operating costs. While precise local take-up will depend on eligibility and premises rates, independent pubs and small live music venues across the borough are likely to see direct savings. The Treasury has also signalled further reform of the business rates system, including changes to small business rates relief to be set out at the Budget.
Chancellor John Healey said the policy formed part of a drive to stimulate growth and give firms support across the country.
“We are determined to bring hope back, give businesses the support they need and generate growth in every postcode.”
Key facts at a glance
- 20% business rates cut for pubs, clubs and live music venues from April.
- Nearly 32,000 hospitality businesses across England expected to benefit.
- Savings of around £1,100 a year for a typical pub.
- Estimated cost: about £100m per year.
| Measure | Detail |
|---|---|
| Targeted sectors | Pubs, clubs, live music venues (excluding very largest venues) |
| Estimated beneficiaries | ~32,000 hospitality businesses |
| Projected annual saving | ~£1,100 per typical pub |
| Fiscal cost | ~£100m per year |
Next steps and local implications
The government says the cut will be implemented from April and further details on eligibility and how reliefs will be restructured are expected at the Budget. In addition to measures targeted at hospitality, Mr Burnham has announced other cost-of-living and transport interventions nationally, including the reinstatement of a £2 cap on single bus fares and changes to VAT on electricity bills.
For Wigan landlords and community groups, the announcement offers potential breathing space for businesses still recovering from recent trading pressures. Local authorities will be asked to administer and communicate any practical steps for claims or rate adjustments when statutory guidance is issued.
Council-run business support services and trade bodies in the borough are likely to publish guidance once detailed regulations are released. Businesses seeking clarity should monitor updates from central government and contact Wigan Council's business support team for local assistance.
Sophia Bell, Wigan News Correspondent
