The government is understood to be preparing to unveil a new package of measures – but questions are being asked about whether it will be enough
Labour is poised to announce help for Britain’s crisis hit pubs – as it emerged two boozers a day are being lost.
The government is expected to unveil a package of measures as early as Tuesday, amid mounting pressure to tackle a looming tax hike.
Chancellor Rachel Reeves insists she has heard the plight of publicans and is ready to act, especially when it comes to business rates. But it is unclear if what will be announced will be temporary support package rather than a permanent tax relief, as the industry is clamouring for action to prevent further carnage.
It came as new figures revealed that another 188 pubs were lost in the final three months of 2025. The vast majority – 123 – were what were classed as community pubs, including many that still rely on drinks sales to survive. The number of food-led pubs fell by 56, along with nine high street sites, according to a report from NIQ and CGA intelligence.
The Mirror has been championing the industry’s cause with its Your Pub Needs You campaign, calling for support for landlords and the communities they serve.
While any extra help will be welcome, many in the pub trade say radical action is needed to hold back the tide of closures, which has seen more than 2,000 lost since the start of 2020.
Pubs are reeling from a perfect storm of challenges, ranging from a change in drinking habits to wage hikes and soaring energy costs. But the most pressing threat is a proposed surge in business rates a result of cuts to Covid-era relief and a wave of revaluations in April.
The Treasury insists it is already providing a £4.3billion package of measures to limit pubs’ bill increases.
The rumoured help for pubs has sparked demands for other businesses hammered by rates to be given support too.
The NIQ data showed the number of hospitality sites across the UK fell by 382 between September and December, down to 98,914, and equivalent to more than four net closures per day. More than 240 restaurants of different types closed in the past three months. The loss comes despite the end of the usually being a brisk time for pubs and restaurants, when tills would be ringing in other times.
The fear is that rate of closures could increase with the new year, when cash strapped customer cut back on spending.
NIQ also found that 28 nightclubs have closed in the past year, along with 39 sports and social clubs.
Karl Chessell, from NIQ, said: “An acceleration in closures in the final quarter of 2025 shows the toll that relentless increases in operating costs are taking on hospitality. The dip is particularly concerning as it came during hospitality’s most important trading period of the year, when businesses usually build the cash reserves to get through the quieter start to the new year.
“Despite the government’s recent rethink on rates for pubs, conditions are unlikely to get any easier in 2026, and business confidence and sales growth both remain weak. Some hospitality groups and entrepreneurs continue to open sites, but without more support and an upswing in people’s spending, we are likely to see hundreds more permanent closures in the months ahead.”
A Treasury spokesperson said: “We recognise the significant value pubs bring to communities and the Chancellor and Prime Minister have been clear that we are determined to support them. The £4.3billion support package announced at the Budget was the right thing to do to protect the majority of ratepayers from increases to their business rates bills.”
