Government “forgot gyms and leisure centres” with business rate decision

The government has been accused of ignoring the pressures faced by the physical activity sector after the hospitality sector – including pubs – were given a 15% discount on their business rates bills from April. The cut in rates for hospitality comes after a backlash against November’s Budget, which left many facing major increases in their business rates bills.

In the budget, the Retail, Hospitality and Leisure (RHL) relief was reduced from the current 40% discount to around 20% for the smallest properties and 10% for those properties with a rateable value between £51,000 and £500,000. As a result, many businesses faced higher costs.

Led by industry body, UK Hospitality, the sector mobilised and launched a high-profile – and ultimately successful – campaign, which included more than a thousand pubs across England banning Labour MPs from their premises.

While hospitality premises secured a discount, there has been no let off for physical activity operators, however, who will now face business rate increases of up to 60%.

Huw Edwards, CEO of ukactive, said: “This announcement takes a narrow view of the support required by businesses, ignoring the immediate pressure facing fitness and leisure facilities across the UK.

“The announcement on the business rates support package for pubs and music venues seems to have forgotten that gyms, pools and leisure centres were also closed during the pandemic and without further protection operators have told us their business rates will rise by as much as 60%.