With Andy Burnham expected to become the UK's next Prime Minister, there is growing optimism across the hospitality sector. While no policies are guaranteed until they're announced, Burnham has previously spoken about creating fairer conditions for businesses and supporting high streets and local economies.
For pubs, hotels, restaurants and cafes, that could be a very positive step.
A Fairer Business Rates System
One of the biggest issues facing hospitality has been the burden of business rates. Many venues continue to pay high rates despite increasing costs across wages, utilities and food.
If a Burnham-led government follows through with plans to remodel the business rates system, it could provide much-needed relief for hospitality operators. A fairer system would allow businesses to reinvest more into their teams, premises and customer experience rather than simply covering overheads.
For many independent operators in particular, this could make a real difference.
Could VAT Be Reduced?
Another topic that continues to gather support across the industry is a reduction in VAT for hospitality.
Trade bodies have long argued that a lower VAT rate would encourage people to eat, drink and stay out more often, while giving businesses greater flexibility to invest, recruit and grow.
A reduction in VAT could help:
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Make eating and drinking out more affordable for customers.
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Increase footfall for pubs, restaurants and hotels.
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Support businesses still recovering from years of rising costs.
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Create more opportunities for recruitment and career progression across the sector.
If this became a priority under the new government, it would be one of the most significant pieces of support the industry has seen in years.
Investing in Hospitality
Burnham has consistently recognised the importance of hospitality to local communities and regional economies. The sector employs millions of people across the UK and plays a vital role in tourism, leisure and high streets.
Combined with greater regional investment and support for skills development, any reforms to business rates and VAT could give operators the confidence to invest, expand and create more jobs.
A Positive Outlook
The hospitality industry has shown incredible resilience over the last few years, but operators are still facing significant financial pressures.
If the new government delivers meaningful reform on business rates alongside a reduction in VAT, it could provide the breathing space many businesses have been calling for.
For employers, that could mean renewed confidence to recruit. For candidates, it could mean more opportunities and stronger career prospects. And for the industry as a whole, it could help create a more sustainable future.
We'll be watching closely over the coming months, but if these proposed changes become reality, they could represent one of the biggest positive shifts for hospitality in recent years.