How Rising Costs Are Hitting Your Local Pub

It's not just VAT that's pushing independent hospitality to breaking point. A perfect storm of rising costs is making it nearly impossible for small venues to survive.

Energy bills have surged dramatically, with some businesses seeing their utility costs double or even triple. National Insurance increases are adding thousands to wage bills. Food and drink inflation means ingredients cost far more than they did just two years ago.

When you add 20% VAT on top of all these pressures—a tax applied before any profit is made—it becomes clear why so many independent operators are struggling.

We need meaningful government action to protect these vital community spaces.