Why should pubs enjoy business rates relief, and not retailers? Andrew Goodacre, CEO of the British Independent Retailers Association (bira), argues that if the Government seriously wishes to save the high street, it needs to take another look at its policy …
When the Government announced £150m for high streets and promised a new high street strategy, I allowed myself a moment of cautious optimism. Perhaps, finally, ministers were listening. Perhaps they understood that communities across Britain genuinely care about their town centres and the businesses that serve them.
Then came January's business rates announcement. Pubs would receive a 15% discount. Music venues too. But independent retailers? Nothing.
In our latest High Street Matters podcast, I sat down with Jeff Moody and John Jones, whose family has run Philip Morrison Sons department store in Hereford for over 150 years, to discuss why this policy is fundamentally misdirected. The conversation revealed something striking – only 32% of pubs are actually on high streets.
Let that sink in. The Government claims this relief is about supporting communities and high streets, yet the vast majority of businesses benefiting from it are not even located on those high streets.
This is not about diminishing the importance of pubs. They are valuable community assets, and I spent years working in the pub sector myself. But why should they receive support at the expense of every other business on the high street?
When business rates relief first started in 2019, it covered retail, hospitality and leisure together. The Government at the time recognised that these sectors occupy the same space, face the same challenges, and need the same support. This new policy abandons that sensible approach for something far narrower and, frankly, politically motivated.
John Jones put it perfectly during our podcast. Retailers face all the same pressures as pubs – minimum wage rises, national insurance increases, spiralling utilities costs. But independent shops also contend with something pubs largely avoid – the retail crime epidemic. Thousands of pounds worth of stock walking out the door unpaid for, on top of all the other costs. Where is the support for that?
For furniture retailers specifically, the situation is particularly acute. These businesses often operate from larger premises with correspondingly higher business rates bills. They carry substantial stock, require showroom space, and provide the kind of customer service and expertise that cannot be replicated online.
When a customer needs advice on choosing the right sofa for their space, understanding fabric durability, or planning a bedroom layout, they turn to their local independent furniture retailer. Yet these very businesses, which invest heavily in both property and expertise, are the ones being overlooked by this selective relief package.
The Government talks about delivering thriving high streets. It promises permanently lower multipliers. Yet the reality is 87% vacancy rates in some areas, shops closing daily, and business rates at their highest levels since 2019. Ministers are reducing business rates support from £2.5b in 2024 to £900m in 2026, despite Labour's manifesto promise to create a fairer system for high street businesses. Apparently that promise only applies if your business is a pub.
Research from Southampton University warns that voters rank high streets as the third most important local issue. People care deeply about having places to go, to socialise, to meet, to feel safe. Two-thirds of all retail transactions still happen in physical shops. This is not a dying sector that we can afford to neglect. It is the fabric of community life.
Independent retailers cannot plan, invest, or sign long-term leases based on uncertain, stop-start support. They need meaningful, lasting business rates reform that creates a level playing field. Our latest podcast explores these issues in depth, and I encourage anyone interested in the future of Britain's high streets to listen.
This is not about special treatment for independents. It is about fairness, consistency, and policy that matches the Government's own rhetoric. Our high streets, and the businesses that sustain them, deserve better.
Listen to the High Street Matters podcast online, or click here for more information about bira’s business rates campaign.
