Welsh Government must use funding to include hospitality in rates reform
November 27, 2025
UKHospitality Cymru has urged the Welsh Government to use Barnett consequentials — and any other appropriate new money - resulting from the UK Budget to deliver an overhaul of planned business rates reform to include hospitality.
It warned that hospitality businesses in Wales will be left exposed unless the reforms are dramatically changed.
David Chapman, Executive Director of UKHospitality Cymru, said: “The UK Budget has provided Welsh Government with funding it can use to now overhaul its planned business rates reform, to deliver a permanently lower multiplier for hospitality – as we have seen in England.
“Barnett consequentials or other newly available resources from the UK Budget must be used to give our sector the vital support it desperately needs – appropriate recognition of the fact it has been penalised by the business rates system for decades.
“Without these changes, thousands of businesses will face continued and unsustainable costs, and it will leave Welsh hospitality sector at a competitive disadvantage.
“Hospitality is the backbone of Welsh communities, a driver of economic growth and jobs. We need a better business rates system that doesn’t penalise bricks and mortar businesses, and supports them instead.”