SAM ROWLANDS, Member of the Welsh Parliament for North Wales, has called on the Welsh Government to show more support for hospitality businesses in the budget.
This week Senedd Members unanimously approved regulations to help businesses which face significant rises in non-domestic rates bills after a revaluation taking effect in April 2026.
Commenting on the new transitional relief scheme in the Senedd, Mr Rowlands, Shadow Cabinet Secretary for Finance and Chair of the Senedd’s Cross-Party Group on Tourism urged Mark Drakeford, Cabinet Secretary for Finance and Welsh Language to reviewopportunities to minimise the pressures on businesses as a result of their revaluation.
He said: “We supported that proposal for those transition payments, because we recognised it was a take-it-or-leave-it proposal, and we think it’s right and proper that that support should be given to those businesses.
“But what we’re hearing now is that, for some of those businesses, it’s a real challenge for them, despite the support that has initially been laid and agreed.
“A particular concern comes from those in the hospitality sector who support our high streets. You have made some particular support available to retail on our high streets, and some of the logic behind that is to mitigate against some online competition.
“But we know that hospitality on our high streets makes a significant difference in terms of how our high streets thrive and help our retail to thrive also.
“With that in mind, and particularly on hospitality, it’s actually the employment they offer to young people. We know that employment amongst our young people in Wales is particularly poor.
“There are concerns that fewer young people will go into work as a result of the pressures that they’re facing.
“There’s an opportunity before the final budget to review what may be able to support the hospitality sector in particular.
“Is that something that you’re willing to do, to give assurance to that sector that their issues are being taken seriously and so we can see young people in the future also being employed?”
Mark Drakeford said if the relief scheme was a successful policy tool, it will be something that a future Government will want to take into account and see if that too should be extended to hospitality.
Mr Rowlands added: “We are grateful that the Welsh Government has at least brought forward a scheme that will soften the immediate impact for thousands of Welsh businesses.
“We understood that if these regulations had not been approved or supported this relief scheme will not be in existence and many businesses across Wales would face steep increases with no protection at all and that is certainly not an outcome we would want.
“However, I remain extremely concerned for businesses up and down Wales who are worried about the increase in rates that they are liable to pay.
“We’ve heard first-hand from many of those in the hospitality and leisure sector, some of whom are facing increases of over 100% in the tax rates they are expected to pay. This is simply not acceptable.”
