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Burnham pledges business rate cuts for pubs, cafes and other small businesses

Burnham pledges business rate cuts for pubs, cafes and other small businesses

Summary

Andy Burnham, Mayor of Greater Manchester, has proposed a 20% cut in business rates for pubs and plans to exempt many small businesses from paying these taxes. His policy aims to support family-run businesses by raising the threshold for paying business rates and funding the cuts by taxing large warehouses and empty shops.

Key Facts

  • Burnham proposes a 20% cut in business rates for pubs, clubs, and music venues next year.
  • Many small, family-run hospitality, leisure, and retail businesses would be exempt from business rates under his plan.
  • The threshold for paying business rates would be raised for the first time since 2017.
  • A taper system would be introduced to avoid a sudden jump in payments as businesses grow.
  • Funding would come from higher taxes on large warehouses run by online companies like Amazon and on empty high street properties.
  • Burnham says his party has undervalued the role of small businesses in communities.
  • UK Hospitality, an industry group, agreed the system has problems but said other measures like reduced VAT are also needed.
  • Burnham plans to run in the upcoming Makerfield byelection to join Parliament and possibly challenge the Labour leadership.
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