UK (Parliament Politics Magazine) – Shadow Chancellor Sir Mel Stride pledges to scrap business rates for 250,000 pubs, restaurants, and small businesses, promising a £4bn annual relief if elected.
As reported by The Telegraph, Tories plan to abolish business rates for 250,000 pubs, restaurants, and small firms if they win the next election.
What did Sir Mel Stride say about scrapping business rates?
During a Conservative conference in Manchester, Sir Mel Stride outlined a plan to revive high streets. The full 100% business rate relief targets hospitality, retail, and leisure firms paying up to £110,000 annually.
The measure would cost £4bn annually, with Sir Mel previously pledging £47bn savings through spending cuts and welfare reforms.
Mr Stride said,
“Under Labour, many have seen their business rates double. We need to get business rates down. In fact, we need to go further. Much, much further.”
He stated,
“So today I can announce that, as a direct result of getting public spending under control, a future Conservative government will completely abolish business rates for shops and pubs on our high streets. End of – finished – gone.”
Mr Stride said,
“Responsibility also means building a stronger society through a stronger economy. That is a Conservative value. It means understanding that it is small businesses, the collective efforts of millions, those who get up early and work all hours, who strive and serve, the little platoons that together form a mighty army. They are the force that binds communities together.”
He stated,
“At the heart of those communities stand our high streets. Where they thrive we thrive. Where they fall into decay, the crime and fear seeps in. And so, I say, small businesses and our high streets are the unsung heroes – they employ, they create, they protect. They make us alive and whole.”
The shadow chancellor said,
“Yet for many businesses the burden of Labour’s tax rises is simply too much to bear. Pubs closing, shops sitting empty, high streets hollowed out. Under Labour, many have seen their business rates double. We need to get business rates down. In fact we need to go further. Much much further. So today I can announce that as a direct result of getting public spending under control a future Conservative government will completely abolish business rates for shops and pubs on our high streets. End of – finished – gone.”
What did Mel Stride say about avoiding Liz Truss’s mini-budget?
Sir Mel Stride pledged never to mirror former PM Liz Truss’s mini-budget, targeting tax cuts toward ambitious young people.
He said,
“Now I am a realist and we must recognise that this Labour Government will be leaving huge debts behind. So I cannot simply say we will use all those savings to spend more elsewhere or cut taxes.”
Mr Stride stated,
“We will bring taxes down, we must, but we will only do so when it is affordable, just as Nigel Lawson did. Because we know where the alternative path leads. We saw that with the mini-budget in 2022. So let me be clear.”
He said,
“The Conservative Party will never, ever make fiscal commitments without spelling out exactly how they will be paid for. We will and will always be the party of fiscal responsibility. Labour has trashed the finances and it is only the Conservative Party, our Conservative Party, that can be trusted to fix them.”
Mr Stride added,
“No more pretending we can keep spending money we simply don’t have. It falls to us as today’s Conservatives to do the responsible thing. That’s the right thing for our country and it’s also the right thing for the next generation. So to young people I say we will get debt off your back. We can and we will.”
What did Mel Stride say about £23bn welfare cuts?
Sir Mel Stride said the welfare system must stay fair and continue to hold taxpayer support.
He stated,
“We will ensure that benefits are properly targeted at those most in need with people thriving in jobs where they can and should be working. That includes stopping claims for people with less severe mental health problems where what is needed is treatment and support, not simply cash.”
Mr Stride said,
“Because we know that the stability, pride and social interaction of work actually improves these conditions. So we say Labour want to park you on benefits, we want to help you to a better life.”
The shadow chancellor argued that benefits should be reserved for British citizens, pledging reforms aimed at reducing welfare spending by £23bn and ending what he described as a “something-for-nothing culture.”
What did Mel Stride say about asylum hotels and net zero?
Sir Mel Stride pledged to cut the foreign aid budget and vowed to end billions spent on asylum hotels, with stronger measures on illegal migration.
He added,
“We will also stop spending billions on Ed Miliband’s vanity projects which are simply driving up bills. We will put an end to them once and for all. In total, the savings I am setting out today would reduce the size of Government by almost £50bn.”
What did Labour say about Mel Stride’s Tory plans?
Labour slammed the “same old Tories” for sticking to familiar policies in Mel Stride’s conference speech.
A party spokesman stated,
“Mel Stride’s supposed savings plan has already fallen apart hours after being announced. The Conservatives claimed they would state how they’d pay for their policies, yet made a multi-billion-pound pledge to abolish business rates without saying how they’d fund it.”
They added,
“It’s the same old Tories, with the same old policies. They didn’t work then and you can’t trust them now. Only Labour can renew Britain and fix the mess left behind by the Conservatives. We’re driving forward growth, securing our borders, and putting money back in people’s pockets.”
What UK tax changes are coming for pubs and businesses in 2026?
UK pubs and businesses face key taxes, with business rates seeing major changes in 2026. Currently, 40% relief applies to retail, hospitality, and leisure properties, capped at £110,000.
Corporation tax is 19% on profits up to £50,000 and 25% over £250,000, with no announced changes. Employers pay National Insurance, and VAT applies if turnover exceeds £90,000.
Liz Truss’ mini budget
Liz Truss’ mini-budget, the “Growth Plan,” was presented on 23 September 2022 by Chancellor Kwasi Kwarteng. It included £45bn in unfunded tax cuts, reversing the NI rise and scrapping the top income tax rate.
The budget caused market turmoil, with the pound falling and borrowing costs surging, forcing a £65bn Bank of England rescue. Lack of independent scrutiny led to loss of market trust, policy reversals, and the resignations of Kwarteng and Truss.