North Devon pub owner says new government support for pubs is ‘almost insulting’

A North Devon pub owner has described the government’s new support package for British pubs as “closing the stable door after the horse has bolted,” warning that small rate cuts will not address the sector’s long-term struggles.

Darren Birch, owner of The Black Venus Inn in Challacombe, said any support was welcome, but the proposed business rates relief and licensing reforms would have only a limited impact on pubs facing soaring costs.

“A minor discount when rates for some have gone up over 100% is almost insulting,” Mr Birch said. “This is on top of all the other spiralling costs facing the industry. A cut in VAT for hospitality like elsewhere in Europe would show the government was serious about what should be a thriving industry. As it is, they are presiding over an industry unable to employ or invest and, in many cases, just struggling to stay above water. When supermarkets are able to make billions selling cheap alcohol whilst your local pub is going out of business, there is something fundamentally wrong with the taxation system in my opinion.”

The Black Venus Inn, a stone-built pub in Exmoor National Park, is part of a sector that the government says has faced financial pressures in recent years.

The government announced on Tuesday, January 27, a support package intended to help pubs, including a 15 per cent cut to new business rates bills from April, followed by a two-year real-terms freeze, and a review of how pubs are valued for business rates purposes. 

According to HM Treasury, the measures are expected to save the average pub around £1,650 in 2026/27, with about three-quarters of pubs seeing their bills fall or remain unchanged.

Licensing reforms are also part of the package, allowing pubs to open after midnight during major sporting events such as the later stages of the FIFA Men’s World Cup, and potentially for other large-scale events like Eurovision. 

Temporary event limits will also be expanded, allowing pubs to host screenings, cultural activities, or community events more easily.

The support forms part of a wider High Streets Strategy, aiming to sustain retail, leisure, and hospitality businesses, which the government says have faced challenges from online shopping, remote working, pandemic restrictions, and rising energy costs.

The Hospitality Support Fund will also increase from £1.5 million to £10 million over three years, providing funding to over 1,000 pubs across the UK to develop community-focused services such as cafes, play areas, and village stores, according to HM Treasury.

Chancellor Rachel Reeves said: “If we’re going to restore pride in our communities, we need our pubs and our high streets to thrive. Thriving local businesses, bustling high streets, and pride restored in our communities – that’s what this government is delivering.”

According to the government, the UK pub sector has faced long-term challenges, with nearly 7,000 pubs closing since 2010, a reduction of around 15 per cent.

Rising business rates, energy bills, changing consumer habits, and pandemic restrictions have all contributed to the decline.

In North Devon, where pubs often act as social hubs for towns and villages, owners warn that small measures will not address structural issues. 

Mr Birch said his concern was that pubs remain unable to employ staff, invest in improvements, or compete with large supermarkets.

“The Black Venus Inn isn’t just a place to have a drink,” he added. “We host charity events, family gatherings, live music, and quizzes. This support helps a little, but it doesn’t address the underlying pressures that threaten pubs like ours.”

The government has indicated it will consult on further planning flexibility in the spring, potentially allowing pubs to add guest rooms or expand main areas without local planning applications.

Combined with business rates relief, licensing reforms, and community funding, the measures are intended to help pubs develop sustainable business models over the long term.

For North Devon’s pubs, however, the support package has prompted a mix of cautious optimism and frustration. 

While financial relief and greater flexibility may help some survive, local publicans warn that more radical changes may be needed to secure the future of community pubs across the region.