Plunkett UK has expressed disappointment at the government’s announcement of a 15% discount on pubs’ business rates bills from April.
The national charity warns that the measures are nowhere near enough to stem the crisis facing the sector – particularly for its community pub members that have already stepped in where the market has failed.
James Alcock, Chief Executive of Plunkett UK, said: “Fifteen per cent discounts might make a headline, but it won’t save the pubs that are already on the brink. Community‑owned pubs have been rescued once by local people – they shouldn’t be left to fight for survival all over again.”
More than 210 community‑owned pubs now trade across the UK, with 23 more opening in 2025, and the sector boasts a 99% long-term survival rate. These are businesses that communities have fought to save – and continue to run – because they are essential to local life.
Community‑owned pubs safeguard additional services such as post offices, essential retail, and health and wellbeing activities. They provide accessible and inclusive spaces for the community to come together, creating pride in place, and alleviating loneliness; and they deliver economic growth via local supply chains and employment, donating surpluses into local community projects – £2.4 million last year alone.
Terry (middle) with staff in the pub
But despite their resilience, they are being hit by rising costs, staff shortages and policy instability. Terry Rogers of The Auctioneer Arms in Caverswall revealed their community pub has been slammed with an extra £31,500 costs in 2025 alone from the Chancellor’s hikes to National Insurance, the minimum wage and business rates. The newly-announced relief averaging £1,650 barely makes a dent in the damage they have already inflicted.
Terry said: “This feels like a temporary measure that sticks a plaster on a much bigger wound. The real damage to pubs has come from rising costs over the past few years, particularly national insurance and minimum wage increases, which have made it far harder to rebuild after the pandemic and sustain local employment. Without addressing those wider pressures, pubs are left facing difficult choices that ultimately risk jobs and community services.”
Plunkett argues that the government’s measures do little to address the scale of the challenge – and fail to recognise their unique contribution or the urgency of the situation. James said: “The government talks about backing business and doubling the size of the co-operative sector, but this announcement shows a worrying disconnect from reality. These pubs are keeping communities alive – and they’re being left to fend for themselves.”
Plunkett has long been making call for a far more ambitious package, including long‑term business rates reform, improved access to finance, and policies that actively encourage community ownership as a proven route to saving local assets. It urges the government to invest £10 million over 10 years in a dedicated rural community ownership fund, to establish over 500 community-owned businesses including 300 local pubs with an estimated GVA of £264 million.
The Farmers Arms in Muker, Yorkshire
James said,
“Communities have shown extraordinary leadership in taking ownership of their pubs. What they need now is a government willing to match that ambition. Anything less risks undoing years of hard‑won progress.”
Paul Jennings from The Fox at Loxley said,
“Whatever way you look at it, business rates is a tax. In the case of a community pub like ours, it is money that is being taken from the community that would otherwise be used to invest in the community business and, in turn, help support local employment. I would like to see a broader range of support from the government for the community ownership model so it can have a positive impact on business growth and strengthen local communities for the future.”
Plunkett’s External Affairs work
In response to the growing pressures facing community‑owned hospitality businesses, Plunkett UK will launch a national campaign this spring to raise awareness, funding and policy support. James concluded: “These pubs are the beating hearts of rural Britain. They’ve been saved once and, with the right support, they will thrive again. But without meaningful government action, we risk losing them for good.”
Click the button below to read more about our External Affairs work – and what we calling for government to prioritise for supporting community ownership and the rural sector.
