In the first half of 2025, eight pubs per week have permanently closed in Britain, contributing to the ongoing crisis affecting local pubs. By the end of June 2025, the number of pubs in England and Wales fell to 38,780, a decrease of 209 in six months and 2,283 in the past five and a half years. Many pubs have been demolished or repurposed for different uses. The increasing financial strain from business rates relief cutbacks and rising operational costs is making it challenging for pubs to remain operational, leading to further closures.
The combination of soaring business rates, higher national insurance contributions, the rising national minimum wage and packaging taxes are all quietly draining profits until staying open becomes impossible.
Slashing business rates relief for pubs from 75% to 40% this year has landed the sector with an extra £215 million in tax bills.
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