Backbenchers Call for Extension of Business Rate Relief Scheme

A group of thirty-seven Tory MPs have written to Chancellor Jeremy Hunt, demanding that he extend help for the struggling hospitality and leisure sector. Specifically, they are calling for the 75% business rate relief scheme, which is worth up to £110,000, to be extended beyond April.

Save Our Sups Campaign Pushes for Continued Support

The MPs' intervention comes as HOAR's Save Our Sups campaign also demands continued assistance for these sectors going into next year, as well as the freezing of alcohol duties.

Concerns Over High Energy Costs and Increasing Wages

Tory MP Matt Vickers has highlighted the challenges faced by companies in the hospitality and leisure sectors, including high energy costs and increasing wages. He emphasized that the relief scheme has been a lifeline for many businesses, and its expiration would have a significant and irreversible impact. Vickers stated, "It is essential they are protected, and we urge the government to extend its game-changing support for them."

Potential Consequences of Removing Rates Relief

A survey conducted by UKHospitality revealed that if rates relief were to be removed, 66% of businesses would reduce investment, 61% would raise prices, and 41% would reduce opening hours.

Call for Freeze on Alcohol Duty

The wine and spirit industry is also calling on the Chancellor to freeze alcohol duty at the Autumn Statement. Recent data has shown a significant decline in sales, with a drop of around 20% in spirit sales and a double-digit drop for wine in the last 28 days. This decline follows the largest duty increase in almost 50 years on August 1.

Duty Rises Counterproductive and Impact Consumer Budgets

Miles Beale, Chief Executive of the Wine and Spirit Trade Association, argues that duty rises are counterproductive and lead to reduced sales, resulting in less revenue for the Exchequer. He points out that consumers are still struggling with the cost of living and cannot afford to stretch their budgets further to enjoy life's little luxuries.