Treasury will unveil a £100mn annual relief package for the UK hospitality sector, reversing a recent business rates U‑turn. The move aims to curb looming closures and protect thousands of job losses across the country’s pubs in the coming months.

Earlier this year, the Treasury warned that unchecked rate hikes could trigger a wave of closures and job losses in pubs, prompting industry groups to lobby for relief. The U‑turn signals a shift toward supporting a sector that contributes £30bn to the UK economy.

For pub owners, the package offers a predictable cash flow cushion, potentially stabilising investment and preventing further closures. Investors will watch how the relief translates into higher profitability and whether the government will extend support beyond the initial £100mn tranche.

Next steps include a Treasury briefing later this week and a review of the business rates framework. Industry bodies will assess whether the relief suffices to reverse the sector’s decline, while policymakers weigh the fiscal cost against the cultural value of pubs.