How will the business rate relief cut impact retail and hospitality businesses?

Following the pandemic and in a bid to manage inflation and changing consumer behaviour, the Retail, Hospitality and Leisure Relief (RHLR) scheme provided a 75% discount on 2023/24 business rates, capped at £110,000. However, in the Labour Government’s 2024 October Budget it was announced that the scheme was set to end in 2025, transitioning to a 40% discount capped at £110,000 until April 2026.

Commenting on the end of the RHLH scheme and its wider implications for small, medium and large businesses, International Tax Partner Mark Tan states that “businesses with rateable values around the £45,000 range will see significant savings, which could improve cash flow and support reinvestment.” However, Mark also noted that questions remain about whether these measures are enough to tackle systemic issues like regional disparities, which remain a pressing concern.

Read the full article including Mark’s comments here: What does the business rate relief cut mean for retail and hospitality? | Financial Accountant