Welsh government to slash business rates for pubs, hotels and cinemas by 30%

First Minister Rhun ap Iorwerth unveiled a permanent 30% cut to business rates for pubs, hotels and cinemas whose rateable value is below £51,000, to be applied from April 2027. Finance Minister Elin Jones said the reduction will be offset by a small rise in rates paid by the biggest property owners, such as large hotels and supermarket chains, preserving the overall funding pool for Welsh local authorities. The policy replaces a temporary 15% cut and aims to boost high-street vibrancy.

UK Hospitality Cymru praised the measure but highlighted ongoing challenges from VAT, inflation, energy and labour costs. Local operators like Phil Newbould and Oliver Banks said the cut will provide modest savings but stressed the need for broader tax relief.