Till to table: The Retail & Hospitality rundown

Prime Minister Andy Burnham has announced a £210m package to bring derelict high street buildings in England back into use as shared workspaces, cafes, health centres and community hubs.

The package, announced on 25 September, is made up of three components:

• A £125m Derelict Buildings Fund, supporting local authorities to convert vacant shopping centres, disused cinemas and other empty buildings.
• £65m to help communities rescue buildings and businesses at risk of closure, such as pubs and sports clubs.
• £20m split equally between High Street Rental Auctions, which let out properties vacant for 12 months or more, and a new Co-operative Development Programme.

The Government has confirmed the £210m comes from Ministry of Housing, Communities and Local Government (MHCLG) funding already earmarked for high street support and regeneration. Most of it will flow through local authorities, mayors and community groups rather than directly to operators. A full high streets strategy is also due later this year.

For hospitality and retail businesses, the main benefit is likely to be footfall. Bringing empty units back into use gives people more reasons to visit town centres, which supports the cafes, pubs and shops around them. High Street Rental Auctions may also open up premises for operators looking to expand. The package does not, however, reduce operating costs, and the Government has separately confirmed plans to let mayors introduce an overnight visitor levy, which the hospitality sector has opposed.

Emma Benjamin, Hospitality Partner at Price Bailey, shares her view on what it could mean for operators.

“Following the business rates cut for pubs, clubs and live music venues, the Prime Minister has now announced a £210m scheme to transform derelict buildings into community spaces such as cafes, health centres and hubs. This is potentially an exciting prospect for run-down high streets across England and could be a real step in the right direction in supporting local businesses.

However, it may be too little, too late for the many local businesses struggling with continued rising costs. It is also a case of one step forward and two steps back, given the Prime Minister’s support for a tourist tax, which could further hinder hospitality and leisure.”

Our team is monitoring developments and will share further guidance as more detail becomes available. For any other Retail & Hospitality enquiries, contact our experts using the form below.

Andy Burnham has announced a 20% business rates cut for pubs, clubs and live music venues in England, taking effect from April 2027.

The package is expected to cost roughly £100 million annually and will be funded by reviewing reliefs for businesses judged not to contribute positively to local communities, alongside action on online marketplaces which do not meet their UK tax obligations.

For a sector which has spent several years absorbing higher energy costs, inflation, rising rates bills and successive increases in wage and employment costs, any reduction on fixed costs is welcome. Business rates are payable regardless of how a venue trades, which is precisely why they hit thin margins the hardest.

The detail, though, is where this will be decided. The announcement names pubs, clubs and live music venues. It does not mention restaurants, cafes, hotels or the wider hospitality businesses which face the same cost pressures. Eligibility criteria have not been published, and it is not yet clear how the measure will interact with the relief already in place for 2026-27.

Price Bailey’s Hospitality Partner, Emma Benjamin, shares her view on what it could mean for operators.

“It could represent a significant development for hospitality, but at this stage there is still a lack of detail around how it will work in practice. If the cut lands as intended and reaches the businesses it is aimed at, it seems Andy Burnham could be the champion of hospitality the sector has been waiting for, but that is a considerable if.

Delivered in full, the cut would reduce a fixed cost for businesses which have spent several years absorbing higher energy costs, inflation, rising rates bills and successive increases in wage and employment costs. For operators running on thin margins, relief on a cost payable regardless of trade is meaningful.

However, the final impact will depend on key details that have yet to be confirmed, particularly which businesses will qualify and how eligibility is assessed where an operator runs several sites.

For now, operators should keep a close eye on further announcements and be prepared to assess the implications once the Government publishes more detailed proposals.”

Our team is monitoring developments and will share more detailed guidance as the position becomes clear. For any other Retail & Hospitality enquiries, contact our experts using the form below.

Preparing for the next tube strikes: What London’s retail and hospitality operators should do now (Update 13 May 2026)

A dispute between the RMT union and Transport for London over a proposed four-day working week for tube drivers has resulted in three waves of industrial action over April (now passed), 19–22 May, and 16–19 June. For retail and hospitality operators in the capital, this presents a sustained revenue and cash flow challenge running across the period, and only a short window of time to prepare for the next wave.

April: What the first wave showed

The April strikes ran across four working days, suspending all Underground lines and causing significant overcrowding on the Elizabeth line, DLR and Overground. According to UKHospitality data, they cost the retail and hospitality sectors an estimated total of up to £600m. Commuter demand has already decreased with the rise of hybrid working; these tube strikes worsen the situation by reducing the remaining footfall, thereby generating a significant decline in revenue across both daytime and evening trade.

With no available government compensation, no insurance product to cover industrial action, and no grounds to seek rent reductions, retail and hospitality businesses will continue to be negatively affected by this, alongside carrying higher employer NIC and National Living Wage costs, and facing the impacts of inflation from the US-Iran war.

May: The preparation window is now

The next strikes begin on 19 May, we recommend that operators take the following steps to prepare:

• Review cash flow now: Identify which payment obligations, such as PAYE, VAT, or supplier invoices, fall in or around the strike window. If April’s shortfall is feeding into May’s commitments, address that before the deadline, not after.
• Adjust stock orders: Most suppliers require 48-72 hours’ notice. Cutting back perishable orders ahead of confirmed strike days is significantly cheaper than writing off wastage again.
• Check your staffing position: Rota changes on strike days carry employment law implications. Take advice before assuming flexibility that may not exist in your contracts.
• Contact HMRC early if needed: Time to Pay arrangements for VAT debts up to £100,000 can be set up online. Larger debts and Corporation Tax liabilities require direct negotiation, but HMRC is far more responsive before a deadline than after one.

June: Why acting now matters more than it appears

If all three strikes go ahead, the Centre for Economics and Business Research (CEBR) estimates the total cost to the UK economy at between £390m and £760m. June falls during a commercially important period for many London operators, particularly those which are dependent on outdoor trade, tourist footfall and summer events.

Businesses entering that month without having adjusted their cost base or rebuilt any working capital buffer after April and May will have significantly less room to absorb it. The time to review supplier terms, stress-test Q2 cash flow and speak to an adviser is now.

Adam Norman, our Retail Partner, and Emma Benjamin, our Hospitality Partner, are advising clients across both sectors on planning through this period. Commenting on the situation, Adam stated:

“With ongoing tube strikes, rising employer costs, and sustained inflation pressures, London’s retail sector faces a perfect storm. Now more than ever, operators must act swiftly to protect cash flow and rethink their business models. The months ahead will test the resilience and adaptability of every business trading in the capital.”

If you have questions about any of the issues covered in this update, or would like tailored guidance for your business, please get in touch with one of our experts using the contact form below.