Oral Answers to Questions

Debate between Kate Dearden and Sarah Dyke

Thursday 11th December 2025 Commons Chamber

[Sarah Dyke (Glastonbury and Somerton) (LD)]

12. What steps he is taking to support the hospitality sector in Glastonbury and Somerton constituency.

[The Parliamentary Under-Secretary of State for Business and Trade (Kate Dearden)]

Hospitality businesses, including those in Glastonbury and Somerton, are vital to our communities and city centres. We have introduced permanently lower tax rates for retail, hospitality and leisure properties with a rateable value under £500,000, worth nearly £900 million annually and benefiting over 750,000 properties. The new relief rates are permanent, giving businesses that certainty and stability, and there will be no caps—all qualifying properties will benefit. We have also introduced a £1.5 million hospitality support scheme to co-fund projects aligned with Department for Business and Trade and Hospitality Sector Council priorities.

[Sarah Dyke]

Earlier this week I met children from Ilchester community primary school. Maeve, who is in year 6, told me her No. 1 concern is the pressure on local businesses. Glastonbury and Somerton has many wonderful hotels and restaurants, like the Hollies in Bower Hinton, but many will face an average rates increase of 76% from April without transitional support. What action is the Minister taking to prevent a crisis in the hospitality sector and ensure that businesses like the Hollies can thrive?

[Kate Dearden]

We absolutely recognise the significant contribution made by hospitality businesses to economic growth and social life in the UK, including the hon. Member’s constituency. With the temporary pandemic business rates relief coming to an end and the first independent revaluation since the pandemic taking effect next April, we are putting in place a £4 billion support package, so that most properties seeing increases will see them capped at 15% or less next year, or £800 for the smallest. We inherited support schemes that the previous Government had put in place with no funding for them to continue. I thank her for raising this matter today and am happy to discuss it further.