Hospitality Sector

Peter Fortune Excerpts

Wednesday 3rd September 2025 Commons Chamber

[Peter Fortune (Bromley and Biggin Hill) (Con)]

The hospitality sector is a major employer in my constituency. In Bromley town centre, in Hayes—which has the excellent New Inn—and in Biggin Hill, Coney Hall, Bickley and Keston, we are lucky to have many fantastic small and independent pubs, cafés and restaurants. However, they are struggling to afford Labour’s tax hikes.

The Government’s decision to increase employer’s national insurance contributions is a jobs tax. Businesses have to pay an average of £900 for every job they support, and the situation is made worse by the decision to slash business rates relief for retail, hospitality and leisure businesses. For an independent pub in my constituency with a rateable value of £98,000, the changes in relief and the increase in the standard multiplier have added £20,000 to its tax bill. All this is happening as energy bills and inflation rise again under Labour, increasing businesses’ costs and squeezing consumer spending. It is no wonder that few hospitality businesses can withstand Labour’s tax raid.

We have already heard about the 84,000 hospitality jobs that have been lost over the past 12 months, but I do not think the Government appreciate the damage that they are inflicting on communities. Much-loved businesses are closing their doors and local job opportunities are shrinking, and it is particularly affecting young people and older workers seeking part-time employment. This threatens to gut high streets, knocking local pride and leaving places poorer, and to add insult to injury, Labour has changed inheritance rules to tax any family business that survives its anti-business policies when the next generation picks up the baton.

It has been said many times that these decisions expose the lack of business experience in the Cabinet. Worryingly, the Government are looking to double down on this “tax everything” approach. They need to change course before we become a nation of shuttered shops and broken dreams.