Andy Burnham has said he wants to go “further” in supporting high street businesses at the budget with their business rates, after announcing plans to slash the tax for pubs, clubs and venues.
The 20% rates relief for pubs and other similar venues was among the first announcements the Prime Minister made when he came into office, as part of a series of cost-of-living related measures.
Budget plans
Speaking to BBC Radio 5 Live’s Wake Up To Money programme, Mr Burnham suggested he wanted to go further with business rates relief at the budget on October 28.
He told the programme: “We are going to bring forward the VAT cuts on electricity, we are bringing forward the business rate cuts for pubs, we’re going to look at business rates more broadly for high street businesses in the budget, so there’s plenty more that we can do.”
Cost of doing business
Pressed again about support for small businesses struggling in the current economic headwinds, the Prime Minister said he understands that “the cost of doing business is too high”.
“I wouldn’t want to promise the earth and say all can be solved because I think people can see I’m facing a difficult financial outlook and I won’t bring forward things that I can’t fully fund,” he added.
Asked what he could promise, Mr Burnham said: “Well I have already made moves in three weeks in my first period in office. I’ve made a commitment around VAT on electricity and that does affect the smallest businesses who are able to get the benefits of the removal of VAT off electricity.
“We’ve made a move on pubs and business rates. I’m signalling going further on business rates. So there are things that we can do, and we’ll do everything that is possible for us to do. But I think everyone knows that I’m in a position with limited room for manoeuvre.”
Pressure from NICs hike
Elsewhere in the interview, Mr Burnham admitted that his predecessor Sir Keir Starmer and ex-chancellor Rachel Reeves’ decision to hike national insurance contributions for employers had added pressure to businesses.
He said: “Of course it added pressure, the cost of energy is adding pressure. So businesses, I understand what they’re saying and what they’re feeling and my job is to not just hear that but then respond to it and see what we can do.”
