USA Update

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PUBS and restaurants face a “cliff edge” unless Rachel Reeves axes a looming tax hike, anxious bosses have warned.

Some 170 hospitality chiefs – including booze giants like Greene King, Fuller’s and Wetherspoons – are demanding further business rates relief at the Budget.

PA

Pubs and restaurants face a ‘cliff edge’ unless Rachel Reeves axes a looming tax hike, anxious bosses have warned[/caption]

Getty

Some 170 hospitality chiefs are demanding further business rates relief at the Budget[/caption]

A 75 per cent business rates cut is due to end on April 1 and will saddle the already-struggling sector with £914million in fresh levies.

In their letter to the Chancellor, the bigwigs write: “In recent months the hospitality sector has become increasingly worried about the onrushing business rates cliff edge that hits the economy on April 1 next year.

“This Budget is the last chance to prevent bills quadrupling for high streets across the country.

“We are asking you to grasp this opportunity to deliver your manifesto commitment to fix business rates and protect businesses.”

Without action, the bosses warn that more venues will be forced to close, leading to job losses and holes in high streets.

UK Hospitality’s Kate Nicholls said: “This 170-strong cohort of business leaders across hospitality shows just how important addressing business rates is at the Budget.

“Inaction will lead to bills quadrupling and more venues shutting their doors for good, which will rob our towns and cities of vital community hubs.

A government spokesperson said: “We’re supporting businesses, including hospitality, through pledges to cap corporation tax at 25 per cent, make the business rates system fairer, and to publish a business tax roadmap so that future investments can be planned with confidence.”