Business Rate Relief Autumn Statement 2023
Retail, hospitality and leisure relief extended for 2024
In a pivotal move to bolster the recovery of the UK’s hospitality industry, Chancellor Jeremy Hunt declared an additional 12-month extension for business rates relief during statement. Despite acknowledging the impracticality of sustaining temporary support indefinitely, Hunt emphasized the crucial need for continued assistance in the face of ongoing challenges.
The extension specifically targets retail, hospitality, and leisure businesses, maintaining the 75% discount initially implemented in response to the pandemic.
You could qualify for retail, hospitality and leisure relief if your business is mainly being used as a:
- restaurant, café, bar or pub
- cinema or music venue
- hospitality or leisure business – for example, a gym, a spa or a hotel
The Autumn Statement also unveiled a significant reduction in National Insurance, with a 2% decrease from 12% to 10%. This translates to a tax saving of £450 for an employee with the average salary of £35,000. The cut is set to be expedited, taking effect from January 6, 2024.
Further, Chancellor Hunt eliminated Class 2 National Insurance for self-employed individuals, offering additional relief to this sector. Additionally, he affirmed the commencement of the rollout of 30 hours of free childcare for parents of one- and two-year-olds starting in April.