The UK Government has confirmed that pubs and live music venues in England will receive an additional 15% business rates relief from April 2026, as part of a targeted support package responding to rising sector pressures.
The measure, announced on 27 January 2026, will apply for three years and is intended to offset mounting costs following the withdrawal of pandemic‑era discounts and changes introduced in recent Budgets.
According to Treasury minister Dan Tomlinson, the average eligible pub will save around £1,650 next year, with property tax bills also being frozen in real terms for a further two years. The relief applies specifically to businesses meeting the government’s definitions of a pub or a live music venue – criteria that include being open to the general public, allowing free entry (except for occasional entertainment), and permitting alcohol sales at the bar without a requirement to purchase food. Music venues must be primarily used for live performance.
However, the announcement has prompted widespread calls for clarity – particularly from trade bodies such as the NCC which represent multifaceted hospitality businesses. As a trade association representing members who operate pubs, licensed hospitality spaces, and venues with live music provision, the lack of guidance leaves uncertainty over how mixed‑use premises will be assessed. Although the Government has stated that local authorities will have discretion where eligibility is unclear, no formal criteria have yet been published for premises that do not fit neatly into a single category.
Given the tight implementation timeline – local authorities are expected to apply the relief ahead of annual billing – the NCC will urge the Government to release the promised detailed guidance without delay. Mixed‑use operators need confirmation on whether their diverse business models qualify, ensuring they can plan effectively and avoid unexpected tax burdens during an already challenging period for the hospitality and leisure sectors.
