Support quality, independent, local journalism…that matters

From just £1 a month you can help fund our work – and use our website without adverts. Become a member today

An £8 million support package has been announced for pubs, bars, restaurants, cafes, and live music venues across Wales.

Around 4,400 businesses in the hospitality sector will be eligible for 15% rates relief during 2026/27, the Welsh Government has announced.

The funding adds to existing support measures, with more than half of pubs in Wales currently receiving small business rates relief, while a quarter pay no rates at all.

The Welsh Government’s permanent reliefs are worth £250 million every year.

From April, the multiplier used to work out rates bills will also be reduced for the first time since 2010, and £116 million in transitional relief is being provided over two years to help businesses adjust to the revaluation.

Wales’ finance secretary, Mark Drakeford, said: “Pubs, restaurants, cafes, bars, and live music venues are at the heart of communities across Wales. We know they are facing real pressures, from rising costs to changing consumer habits.

“We have extended this relief to restaurants and cafes, as well as pubs and live music venues, because in towns and high streets across Wales these businesses operate side by side, often in direct competition. It makes sense to support them equally.

The former First Minister added: “This builds on more than £1 billion in temporary rates relief we have provided since 2020, alongside our permanent reliefs worth £250 million every year.

“We will continue to stand behind the hospitality businesses that serve our communities.”

Eligible businesses can apply for the relief through their local authority from April.

‘A pattern of short-term fixes‘

Joshua Miles, head of the Federation of Small Businesses (FSB) Wales, welcomed the funding, but pointed out the struggles still faced by the sector.

He said: “We’ve been highlighting the large increases in business rates facing hospitality and leisure businesses for some time, so it’s good to see Welsh Government respond with additional relief for some businesses.

“Although this news will bring a welcome, temporary reprieve for food and drink hospitality businesses and music venue owners, small firms across the rest of the hospitality and leisure sectors will be incredibly disappointed to not have been considered for support.

“Losing the previous 40% discount, on top of April’s revaluation of the rateable value of premises, will take a heavy toll on small firms, threatening jobs and our high streets.

“The fact that this is another one-year temporary relief reflects a pattern of short-term fixes in a complicated and often arbitrary business rates system that needs urgent reform.”