A group founded by King Charles to campaign for pubs has accused Rachel Reeves of breaking her manifesto pledge.
The organisation expressed their “anger” at the taxes she has imposed on the hospitality industry.
Pub is the Hub was set up by the King in 2001 to rescue pubs that are at risk of closure.
They are one of seven organisations warning that “eye-watering increases” in taxes will obliterate the hospitality industry.
Pub is the Hub accused Ms Reeves of breaking her manifesto promise to replace the current business rates regime with a fairer system.
Charles established the non-profit organisation to address concerns about the loss of rural pubs and it provides tailored advice to publicans on adapting their businesses.
His Majesty has made a number of appearances at pubs that have benefited from the scheme.
In 2024, he made a personal donation to its community services fund.
The King has made visits to pubs that have benefited from the scheme
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Upon launching Pub is the Hub, the King discussed the “unprecedented challenges” faced by rural ways of life, adding: “Pubs have a huge potential to act as one-stop shops.”
His Majesty does not play a role in the running of the organisation or in its political positioning.
At the start of December, Sir Keir Starmer said that small businesses are “the beating heart of our economy and the backbone of our communities”.
However, it is forecast that at least one pub a day is predicted to close next year, causing “thousands of vital job losses that will be devastating for communities across the country”, the Pub is the Hub’s letter stated.
Upon launching Pub is the Hub, the King discussed the ‘unprecedented challenges’ faced by rural ways of life
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In November’s Budget, the Chancellor said she would scrap business rates relief for the hospitality sector over the next three years.
The move has caused “real anger among publicans and pub businesses across England who, understandably, feel badly let down”.
Individuals who signed the letter claim that while warehouses used by multi-national online brands will only experience an average rate increase of seven per cent, “the average community pub, the place where the social fabric of Britain is weaved, will be hammered with a damaging increase of 10 times the magnitude of this”.
Andrew Slee, the chief executive of the Society of Independent Brewers and Associates, who was one of the signatories, said: “Labour committed to levelling the playing field, but I have been trying to make sense of what happened in the Budget since the full horror of it emerged.
The Chancellor’s announcement that she would scrap business rates relief for the hospitality sector over the next three years has caused ‘real anger’
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PA“It is such catastrophically bad policy that I can only think it was a mistake. No one could have looked at this and thought ‘this makes sense, so we’ll go with it’. It is madness.”
A Treasury spokesman said: “We’re protecting pubs, restaurants and cafés with the Budget’s £4.3billion support package.
“Without this support, pubs would face a 45 per cent increase in the total bills they pay next year. Because of the support we’ve put in place, we’ve got that down to just four per cent.
“This comes on top of our efforts to ease licensing to help more venues offer pavement drinks and put on one-off events, maintaining our cut to alcohol duty on draught pints, and capping corporation tax.”
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