High Street shops, pharmacies, gyms, music venues, and other businesses are urging Chancellor Rachel Reeves to extend relief on business rate increases beyond pubs, after the government signaled a climbdown on pub rates in England.

While pubs have faced heavy criticism over rising business rates, including over 1,000 pubs banning Labour MPs from their premises in protest, other sectors warn that looming cost hikes threaten survival for thousands of additional businesses.

“Where businesses are struggling and need more support, it is right that the chancellor engages with the sector to see what can be done,” said Labour chair Anna Turley.

The Business Rates Issue

Business rates are calculated by multiplying the rateable value of a property by a fixed multiplier, which is reassessed every five years.

• The last assessment in 2021 reflected reduced activity due to Covid.
• The upcoming revaluation shows significantly higher property values, causing bills to rise sharply from April 2026.

In the November 2025 Budget, Covid-era discounts for retail, hospitality, and leisure properties were reduced:

• 75% discount → 40% this financial year
• Discount ends entirely from April 2026

To ease the impact, the government introduced £4.3bn in transitional relief, phasing in bill increases over three years. Despite this, many businesses still face substantial cost hikes.

Calls to Include Other Sectors

Lobby groups representing independent retailers, gyms, pharmacies, and music venues have urged the government to extend relief beyond pubs:

• British Independent Retailers Association (BIRA) says members face “exactly the same challenges as pubs.”
• Arora Group, which runs hotels across the UK, reported a £12.4m increase in one hotel’s business rates.
• ukactive, representing gyms and leisure centres, warned that rate rises of up to 60% could lead to closures, price hikes, and redundancies.
• British Retail Consortium (BRC) called the current system “not fit for purpose” and argued that the government’s partial relief is a temporary “sticking plaster” rather than fundamental reform.

Music and live event venues have also voiced concerns: LIVE CEO Jon Collins said a U-turn for pubs “must not leave live events and arenas behind.”

Conservative MP Dame Caroline Dinenage echoed these concerns in a letter to the chancellor, warning that the planned reforms could push struggling venues, clubs, and cinemas “over the edge.”

Government Response

The Treasury has indicated that the upcoming business rates backtrack will apply only to pubs, sparking calls for broader coverage.

Chancellor Reeves has said:

“I want to support our pubs; I want to support our High Streets. That’s why we made the change to the rates. But I recognise that many sectors are still struggling and we are working with them.”

Officials are also considering planning and licensing changes, such as allowing longer opening hours and expanded outdoor spaces for hospitality venues.

Implications for the High Street

Without action, many High Street businesses and service-heavy firms risk facing unsustainable bills, particularly amid rising energy costs and post-pandemic recovery pressures.

Industry groups warn that failure to extend relief could lead to:

• Widespread closures of shops, gyms, and venues
• Job losses across retail and hospitality
• Higher consumer prices to offset costs

“Independent retailers, music venues, gyms, and other businesses need fair treatment,” said BIRA CEO Andrew Goodacre.
“Perhaps they need to follow the pubs’ example and ban MPs until the government listens.”

With pubs set to receive targeted relief, the coming days could see renewed pressure on the government to broaden support for all struggling High Street businesses.