Oral Answers to Questions

Richard Foord Excerpts

Tuesday 27th January 2026 Commons Chamber

[Rachel Reeves]

My understanding is that the Ministry of Housing, Communities and Local Government is still consulting on this matter, so the hon. Lady and other colleagues will have a chance to feed into that process. In the spending review, we put an extra £600 million into supporting local authorities after the years of austerity under the Conservative Government. While the previous Conservative Prime Minister said he would take money away from poorer areas and give it to Tunbridge Wells, we are investing more fairly in the areas that need it most.

[Richard Foord (Honiton and Sidmouth) (LD)]

3. What assessment she has made of the potential impact of changes to business rates on the hospitality sector.

[Paula Barker (Liverpool Wavertree) (Lab)]

4. Whether she plans to increase the level of small business rates relief for the hair and beauty sector.

--- Later in debate ---

[The Exchequer Secretary to the Treasury (Dan Tomlinson)]

There are a number of questions on this topic, and I am sure there will be more this afternoon when I make a statement to the House on a package of support in relation to business rates, with a particular focus on pubs. As previously announced, we are introducing a support package worth £4.3 billion to support rate payers who are seeing increases in their business rates.

[Richard Foord]

Joanna Watson runs the Elizabeth hotel and the Kingswood hotel in Sidmouth. She is essentially facing a 20% rise in her business rate costs. Joanna’s bills do not reflect what she earns; they stay high all year round, even though there are months like these in winter when income completely collapses. The Government legislated for a 20p reduction in the business rates multiplier for hospitality, and that created an expectation that it would be used. The Minister said that he will make a statement this afternoon, but will he also consider the plight of hotels such as those in Sidmouth?

[Dan Tomlinson]

We have considered the challenges that hospitality businesses and businesses on our high streets have been facing. That is why we put in place £4.3 billion of support at the Budget. We recognise that there are concerns as to how hotels are valued for business rates, and that will be one of the items I talk about in the statement later.