Keir Starmer faces U-turn over pub business rates

The article reports that recent government measures — including a rise in Employer National Insurance and business rates changes — have increased costs for pubs, and that the government is preparing to reverse the planned business rates change after industry backlash; details are still awaited.

An article published on 11 January 2026 says pubs face financial pressure after recent government policy changes. It reports that Chancellor Rachel Reeves raised Employer National Insurance Contributions in her first Budget, increasing the reported cost to employ a worker by about £800. The piece also says the recent Budget's business rates changes were presented as reductions but in practice would produce higher bills over three years for many pubs. The article reports that after industry backlash the government is preparing to revise the business rates decision, but details are still awaited. Key points: - The article reports the Employer National Insurance rise increased the cost of hiring by around £800 per worker. - The article reports the recent business rates measure was presented as permanent reductions but is reported to result in an average 74% increase for pubs across three years. - The article reports the government is preparing a U-turn on the business rates changes for pubs; the form and timing of any changes are not yet announced. Summary: The article says these policies have placed additional financial strain on pubs and high-street hospitality, and that public and industry reaction has prompted the government to prepare a reversal of the business rates change. Undetermined at this time.