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UK Government Faces Backlash Over Proposed Pub Tax Hikes

1/8/2026

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Story summary
  • The U.K. government under Sir Keir Starmer, the U.K. Prime Minister, faces backlash over proposed business rate hikes for pubs, threatening many venues.
  • Chancellor Rachel Reeves is under pressure to amend plans after concerns that higher rates could reverse Covid-era tax relief.
  • The criticism follows a series of government U-turns, including changes to tax policies affecting farmers and income tax.
  • An announcement on hospitality sector relief is anticipated soon.