Chancellor Rachel Reeves refused to put a figure on the extra support cash-strapped boozers could access - but told landlords support was on the way with an announcement soon
10:30, 14 Jan 2026
Rachel Reeves has said she is working “intensely” to hash out a lifeline support package for pubs ahead of looming hikes to business rates.
The Chancellor refused to put a figure on the extra support cash-strapped boozers could access - but told landlords support was on the way. Pubs are facing a hike in bills in April with an upcoming shake-up of business rates and the phasing out of Covid-era discounts.
Last week it was confirmed the government would water down the plans with specific details of the climbdown expected soon. The package is likely to include business rates relief and measures to slash red tape for licensing regulation.
The Mirror has been campaigning to save Britain's boozers through our Your Pub Needs You campaign. Ms Reeves told BBC Breakfast on Wednesday: "There's a number of things happening with business rates. There's been a revaluation of the value of properties.
"This is the first one since the pandemic. So rateable values were going to go up. And there's a gradual withdrawal of some of the temporary support that went in during Covid.
"Now we've put in another £4.3 billion of additional support to phase that transition, but we do recognise that for some pubs there is still a big increase, and so we're working pretty intensely at the moment. Again, I want to make sure that we get this right.
"These changes are not due to come in for a few more months. So we're going to get this right. But I think most people would accept that now the pandemic is over, some of that temporary support does need to come away, but it's about the speed at which you do that."
Told that “everyday counts” amid reports of six pubs closing a day, she said: "It is always sad when a business closes, especially a much loved local business, but the business rates haven't come yet. This is not that the rates have gone up, and now we're trying to find a solution.
"These changes are coming in in April, so we've still got time to make sure we get this right." Ms Reeves added the announcement on support will come "in the next few days and weeks". She said: "We want to support our pubs. We want to support our high streets and we’re doing that."
The Chancellor is also facing pressure from opposition and hospitality industry figures to extend financial aid to other ailing businesses. But Ms Reeves signalled she is resisting those calls, arguing the focus is on pubs that were forced to close during Covid and have seen a particularly steep rise in valuations.
"The biggest concern right now is around pubs," she said, noting "some of the smallest businesses, particularly some cafes, don't pay any business rates at all because they're not big enough to do so".