Sir Keir Starmer tells LBC he's looking at 'further support' for pubs & firms hit by higher business rates

Sir Keir Starmer has told LBC that he's looking at "further support" for firms hit by higher business rates - including licencing laws for pubs.

A revaluation means many - including pubs, bars and restaurants - are facing much higher bills from April.

They faced much lower rates during the Covid pandemic in a bid to help them survive.

But some have warned they may be forced to close as a result of them increasing again.

The prime minister's told us that discussions with the hospitality industry are ongoing.

He said: "Obviously, what's happened is there were reductions in place during covid which were always going to be unwound.

"At some point, the overall rates are going to be lower. But I accept that because of revaluation, that means that some will have their bills going up.

"We're putting in place transitional relief.

"We're talking to the sector, particularly hospitality and pubs, about what further support we can put in, whether that's licencing freedoms or other measures.

"We want to talk to the sector. I want to keep working with them to make sure we can work this through.”

Several pubs have already barred Labour MPs in protest at business rate changes - in a bid to force the Government to think again.

Labour MP Rachael Maskell told LBC last week that the high street will “collapse” without changes to an “excruciating” rise in business rates.

The MP for York Central said she is "pleading with the government" to "bring around proper reform of business rates".

Rachael Maskell told LBC: "I look across York and it is excruciating the rises which people will see to their business rates.

"The problem has been that we've seen the revaluation coming at the same time and that's just pushed people over the line and certainly to the edge."

She added: "The business community have got many, many ideas of how that can be done in a fair and proportionate way, but certainly not one that puts such demands on businesses that traders are saying that their doors will not be able to sustain this increase."

In the Autumn Budget, Chancellor Rachel Reeves confirmed that a new business rates system will be introduced from the next financial year.

This will see rates multipliers lowered for retail, hospitality and leisure firms – funded by higher rates on larger commercial properties, including warehouses.

It also means that firms with larger premises, like storage companies and supermarkets, will be hit with a property tax rise.