Hospitality sector says it now faces hike in rates bills

WELSH hospitality businesses say they are now facing substantial and potentially damaging business rates hikes after the Welsh Government sidelined the sector in a new batch of rating plans.

- By OWEN HUGHES Business Correspondent [e-mail]

They say the new proposals, coupled with the cut off in business rates funding from Westminster, will mean that there will effectively be no support for Welsh hospitality businesses in 2026/27 unless the Welsh Government acts.

That's because a new lower business rates multiplier has been set aside solely for the retail sector and ignoring the requirements of hospitality in 2026/27, a still struggling sector that is nevertheless the second biggest employer in the country.

They say that lack of support will mean a typical high street pub will be paying an extra £6,800 per year in business rates; a typical country hotel would see an increase of around £17,000 per year; and a city centre hotel would see nearly £50,000 extra in costs.