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Scottish hospitality still facing higher rates bills, despite support measures

UKHospitality Scotland has said the measures announced in today’s Scottish Budget do not go far enough, with hospitality businesses still left facing increases worth thousands of pounds.

Our response

Leon Thompson, Executive Director at UKHospitality Scotland said: “Today’s Budget has not sufficiently addressed the challenges that hospitality businesses in Scotland face, and the majority will still be paying higher business rates bills in April.

“While the reduction in the poundage is positive, it does not offset significant increases in business revaluations and the loss of 40% relief.

“The increases to rateable values, often in excess of 100%, bear no relation to the trading environment hospitality businesses are operating in and they cannot trade their way to paying higher taxes.

“The package of reliefs put forward to help mitigate the impact of these increases is merely a sticking plaster to cap eye-watering bills. The increases facing our local pubs, hotels, restaurants and cafes over the next three years are still staggering.

“I urge the Scottish Government to go further in its support of hospitality, or we will only see job losses and business closures accelerate as a result of our sector’s ever-increasing tax burden.

“The commitment to pass on any additional funding from further support for the sector on business rates in England is crucial, and I hope the Scottish Government will move swiftly to use those funds, should that support be announced in England.”