Senior figures from Britain's pub and hospitality sector have launched a scathing attack on Prime Minister Keir Starmer's suggestion that relaxed licensing laws could help offset punishing business rate increases, dismissing the idea as "a load of rubbish".
Industry Fury Over 'Whitewash' Proposal
The backlash erupted after Starmer confirmed his government was in talks about potential support for the sector, which is reeling from a business rates hike announced in the November Budget. While a 5% discount was offered, most landlords saw their bills rise after a government agency judged their property values had increased dramatically.
Andy Lennox, a landlord and founder of the Wonky Table lobby group behind the 'No Labour MPs' campaign, was unequivocal. He branded the licensing suggestion "an utter whitewash that nobody needs". "We've never asked for them," he told City AM. "No trade body that I've ever spoken to has said that the industry wants to be open until one o'clock at night."
Tax Burden Blamed for Daily Pub Closures
Industry leaders argue that government-imposed cost pressures, not restrictive opening hours, are the core problem. They point out that one pub is closing every day in England and Wales. The effective tax rise comes as the sector campaigns for a VAT cut, having already been hit by a payroll tax raid in a previous budget.
Sacha Lord, chair of the Night Time Industries Association, said any measure other than a further business rates or VAT reduction was "pointless". "The chat about extending licensing hours is pointless," he stated. "In reality, hospitality are cutting hours as they can't afford to stay open."
Recognition But No Solution
While welcoming the Prime Minister's recognition of the scale of the crisis, UK Hospitality chair Kate Nicholls insisted the focus must be on the tax burden. "Nothing else is going to cut it," she asserted. Treasury officials have begun talks on measures to offset the rates rise, set for April, with the British Beer and Pub Association noting ministers were beginning to understand the industry's anger.
The government had previously launched a suite of measures in July aimed at helping the sector, including creating 'hospitality zones' to fast-track planning. However, for publicans facing soaring costs, the latest licensing proposal has fallen utterly flat, seen as a distraction from the urgent need for fiscal relief.
