The Welsh Labour Government has announced Pubs, restaurants, cafes, bars and live music venues across Wales will benefit from additional business rates support.

Around 4,400 hospitality businesses will be eligible for 15% relief on their rates bills in 2026-27, helping them through a period of rising costs and changing consumer habits.

The Welsh Government is providing up to £8 million for the package, using funding from the UK Government but also deploys the Welsh Government’s own funds to extend the range of businesses helped in Wales.

Welcoming the announcement, Hannah Blythyn MS said:
“Independent hospitality businesses are the backbone of our high streets and communities. When speaking to local café owners, publicans and brewers, the issue of business rates and rising costs comes up time and again, and I have made sure these voices are heard in the Senedd.

“This additional rates relief is a positive step that will help businesses manage current pressures and plan with greater confidence for the future. I will continue to work with the Welsh Government to make sure our local hospitality sector gets the support it deserves.”

Hannah Blythyn MS has consistently championed the needs of independent hospitality businesses in the Senedd, recognising the vital role that pubs, cafés, bars and restaurants play in supporting town centres and local communities. Through her regular engagement with local businesses, she has highlighted the pressures they face from rising operating costs, staffing challenges and changes in trading conditions.

This additional support for food and drink hospitality comes on top of substantial existing support. Almost half of pubs in Wales already benefit from Small Business Rates Relief, and over 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.

Finance Secretary, Mark Drakeford MS, 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.

"This additional support will help around 4,400 businesses as they adapt to these challenges. 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.

"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 2026.