Next Welsh Government must properly reform business rates

Its priority ask is proper reform of business rates, with a permanently lower multiplier for hospitality and leisure, funded by rebalancing the burden to reflect the rise of the online economy.

It is also calling for the next Welsh Government to immediately revisit the business rates support available for the current financial year.

Its recommendations in full are:

David Chapman, Executive Director of UKHospitality Cymru, said: “Hospitality is at the heart of Welsh life and the foundation of our local economies, communities and culture.

“It’s a sector with huge potential to grow that the next Welsh Government should be incentivising. That needs to begin with full reform of the broken business rates system. The current tweaks are nothing more than tinkering around the edges and have left hospitality paying even more.

“Proper reform that rebalances the system in favour of hospitality and leisure is the easiest way to unlock investment, drive economic growth and regenerate Welsh high streets.

“The next Welsh Government should seize this opportunity to put hospitality, leisure and tourism at the heart of Welsh economic and social policy. As well as working with the sector directly, the Government should engage with the entire farm-to-fork supply chain to lift our communities, high streets and visitor economy.

“Connectivity is vital. A place-based approach to transport infrastructure is essential. Improved train routes with increased capacity and a less congested M4 corridor would be huge for the Welsh economy.

“Hospitality businesses want to work in close partnership with the next Welsh Government. I would urge all parties to commit to our recommendations and working with us to implement them, for the benefit of Wales.”

The report was launched today at Hugh James’ Headquarters in Cardiff.

Gerallt Jones, Partner and Head of Hospitality and Leisure at Hugh James, said: “At Hugh James, we work with hospitality businesses across Wales and beyond, and see firsthand both the resilience of the sector and the pressures it continues to navigate.

“Serving Wales sets out an ambitious and practical vision for a stronger, healthier hospitality sector in Wales.

“As members of UKHospitality, we value the role the organisation plays in representing the sector’s interests and engaging constructively with government, and we were pleased to host today’s discussion ahead of the forthcoming Senedd elections.”