If society wants mid market chains then carry on taxing if you want to retain your local restaurant, pub, bar, coffee shop or quality establishments & venues something needs to change
Labour don’t understand business.
2020 - to employ a 21 year old 40 full time would cost £17,035
2026 - to employ a 21 year old 40 full time would cost £29,600
A 74% increase. Meaning a cafe needs £400k extra turnover just to fund ONE job!
I spoke to @MattBarbet on @SkyNews tonight about the Govt’s u-turn on pubs, where he asked me what I would about business rates if I was the Chancellor.
My take:
1/ extend the business rates relief offered to pubs to also include cafes, restaurants and other hospitality venues
2/ explore a European-style lower VAT rate for hospitality businesses
3/ move from a turnover-based valuation approach for pubs to a square-footage basis to be more consistent with other types of businesses, making increases more predictable
In a debate last week Lord Sharpe raised the issue of business rates affecting shops, cafés, pubs and hospitality across the entire hospitality sector.
Without a sector wide solution for a sector wide problem, 963 restaurants, 574 hotels and 540 pubs could close this year.
"After the Budget, the number of staff on payrolls fell by over 42,000, the biggest fall in workers since the pandemic."
Thank you to Baroness Monckton for raising the devastating impact the Budget has had on hospitality.
We need a solution for all of hospitality.
If the Business Rates U Turn is only on pubs, the rest of the sector will be up in arms!
It has to cover all Hospitality.
Restaurants, Hotels, cafes, Live Music venues etc…
@KitchenCroxley I’ve had to make similar changes. We now open at 11am and stop food at 3:15, with coffee and cake until 3:30. It’s based on EPOS data and allows us to finish earlier on quieter days rather than carry unnecessary payroll. Not easy, but the only way at the moment 😬