Eight pubs are closing in the UK every week amid fears the trend will accelerate as the industry struggles to cope with rising costs and taxes…reports Asian Lite News
More than 200 pubs across England and Wales shut their doors for good in the first six months of 2025, in what industry leaders have described as a “heartbreaking” and accelerating trend.
Figures compiled from government records show that 209 pubs were either demolished or converted into alternative premises between January and June, equating to around eight closures every week. Since the beginning of 2020, a total of 2,283 pubs have disappeared from communities, underlining the sustained pressure on the industry.
The closures highlight the difficult financial landscape facing publicans, with rising costs in taxation, wages, energy and staffing combining to erode profits. Industry groups are warning that unless significant government intervention is forthcoming, Britain risks losing many more of its traditional watering holes.
Central to the sector’s concerns is the recent change to business rates relief. Pubs, like other hospitality venues, benefited from a 60% discount on their business rates bill, capped at £110,000, until April this year. From that point, however, the discount was reduced to just 25%, placing what landlords describe as unsustainable pressure on already fragile businesses.
Industry experts had long warned that reducing the relief would tip many venues into the red. Their predictions now appear to be playing out, as the latest closure data reveals.
Alex Probyn, president of property tax at commercial real estate specialists Ryan, whose team conducted the analysis, said the changes were creating a devastating burden. “Higher costs are all quietly draining profits until staying open becomes impossible,” he explained. “Slashing business rates relief for pubs from 75% to 40% this year has landed the sector with an extra £215 million in tax bills. For a small pub, that means the average bill has risen from £3,938 to £9,451 – a 140 per cent increase. It is simply unmanageable.”
In addition to the business rates adjustment, pubs are contending with higher staffing costs following an increase in the national minimum wage and a rise in employer National Insurance contributions. These, combined with ongoing energy bills and supply chain pressures, have left many landlords struggling to break even.
One pub owner, who asked not to be named, recently told the *BBC*: “You can’t make money anymore. It’s not surprising so many pubs are closing at an alarming rate. Between the bills, the taxes and the staff costs, the sums just don’t add up.”
For many communities, the disappearance of a local pub represents more than just the closure of a business. Pubs have long been central to Britain’s social fabric, offering not just food and drink but also a sense of belonging and shared identity. Campaigners argue that the loss of these institutions leaves a gap that is difficult to fill.
Emma McClarkin, chief executive of the British Beer and Pub Association (BBPA), described the trend as “absolutely heartbreaking”.
“There is a direct link between pubs closing for good and the huge jump in costs they have just endured,” she said. “Pubs and brewers are important employers and drivers of economic growth, but they are also really valuable to local communities across the country. They bring people together, reduce loneliness and have real social value. This is a really sad pattern, and unfortunately a lot of these pubs never come back once they close.”
Industry leaders are now pressing the government to introduce sweeping reforms to business rates and beer duty at the next Budget. They argue that without meaningful changes, closures will continue to mount, further damaging high streets, communities and the hospitality trade.
McClarkin urged ministers to act decisively. “The government needs to recognise the scale of this crisis. We want to work in partnership to ensure pubs can survive and thrive, but that will require major reforms to outdated systems of taxation and relief. The sector has weathered enormous challenges in recent years, from the pandemic to inflationary pressures, but we cannot withstand endless cost hikes.”
The latest figures continue a long-running decline in the number of pubs across Britain, accelerated by the Covid-19 pandemic and the subsequent energy crisis. Many venues were forced to take on additional debt during lockdowns, leaving them ill-equipped to cope with the rising bills of recent years.
Campaigners fear that, without intervention, the coming months could see the pace of closures quicken, leaving some towns and villages without a pub altogether.
Probyn warned: “We are seeing a hollowing out of communities. Pubs are more than businesses; they are cultural landmarks and gathering places. Once they are lost, they rarely return.”
With pubs under increasing pressure, industry representatives are hopeful that their calls will be heard when the Chancellor delivers the Budget later this year. In the meantime, however, publicans face the daily challenge of keeping the lights on.
For now, Britain’s pubs remain a cherished part of the national landscape – but their future looks increasingly uncertain. Without meaningful government support, the industry fears many more will be lost, taking with them not only jobs and revenue but also a cornerstone of community life.
