Village pub landlord tells of "toughest trading year" as he cautiously welcomes Government U-turn on business rate increases for pubs

It’s understood the Treasury is preparing a package of support for the pub industry after an outcry over the impact of a huge hike in business rates - with plans due to be announced in the coming days.

“Any relief is welcomed but obviously we've got to see the detail and until we see that detail I don’t think we can breathe easy,” said Councillor Patrick Harley, who runs The Green Man at Swindon, in South Staffordshire, as he told of the tough trading conditions hitting local publicans.

He said this past week has been the pub’s “poorest week of trading ever” - with the wintry weather biting just days into January which has always traditionally been the quietest month of the year for the pub industry.

And it comes after a difficult year that has seen hospitality businesses battling against rising energy and employment costs that have been hitting the bottom line.

He said: “The last 12 months have been our toughest trading year, if most pubs our size are managing to pay their bills and just keep their heads above water then they’re doing well but they’re not making a profit.”

Cllr Harley, who is the leader of nearby Dudley Council, said the increase in National Insurance contributions that employers have to pay and an increase in the National Minimum Wage have forced landlords to put up prices, cut jobs and reduce opening hours and he said: “We can’t keep putting prices up, it’s hard enough for people as it is.”

He added: “The government in its first budget has already crucified pubs across the country with the reduction in the discount that pubs and cafes got.

“My business rates went up by £200 a month, that’s a lot for a small pub. If they pursue what they originally planned to do then I dread to think what we’ll be paying.”

He said Conservative leader Kemi Badenoch’s proposal to abolish business rates entirely for thousands of pubs is “the sort of help that pubs need across the country” but he added: “At the moment I welcome any relief at all but if it means our business rates still go up - that's not good.”

And he warned: “Once these pubs are gone, they’re gone for good - they’re not going to re-open.”

The Dudley and South Staffordshire branch of CAMRA has also cautiously welcomed news of the Government’s package of support for pubs.

John Corser, branch chairman, said: “It’s good news but the devil is in the detail.

“We’re seeing many pubs cutting back the number of days they open because of the rising costs electricity and employing staff when they might not make much money.

“We just hope they will get extra support - they are a vital community resource.”

He added: “We’re just keen that our members support the real ale pubs across Dudley and the Black Country and South Staffordshire as much as they can - especially in January which is a very tough time for the licensing trade.

“We encourage people to do ‘Try January’ rather than Dry January and try as many different beers from the Black Country in January to try to help our pubs.

“We also urge members to write to their MPs supporting the campaign for reduced business rates for pubs. We’re concerned if there’s an increase in rates in April it could kill off many pubs locally.”

The Greater Birmingham Chambers of Commerce also welcomed the news there’ll be some relief for pubs but said Chancellor Rachel Reeves must do more to help the hospitality industry as a whole.

Emily Stubbs, head of policy at the Chambers, said: “The Chancellor acknowledged in the Autumn Budget that the business rates system is broken and constraining growth, but the measures she announced risk leaving some sectors over‑exposed.

“While a carve‑out for pubs is very much welcomed, many hospitality firms across Greater Birmingham face an existential threat, whilst others are set to see substantial cost increases.

“Our latest Quarterly Business Report reflects the already-acute cost pressures and cashflow squeezes impacting local businesses, constraining employment, investment and economic growth.

“The government's immediate priority must be a meaningful uplift in transitional relief to soften the sharp rises in April.

“Following this, the Chancellor must deliver the root‑and‑branch reform promised in the Labour Party's election manifesto, including annual revaluations to avoid steep bill jumps and a single flat multiplier of 40p to improve transparency and fairness.

“These changes would allow for much greater transparency, simplicity and fairness than the current system.”