In my opinion…
I’ve worked in and around hospitality for most of my adult life – from pulling pints to consulting for independent chains – and every Budget announcement feels like déjà vu. Big promises, flashy headlines… and then? Not much for the pubs, cafés, restaurants and bars that are the heart of our communities.
So, when the 2025 Budget dropped, I dug in hoping for a shift. A glimmer. A sign that Rachel Reeves might finally get what it takes to keep this industry alive and not just limping along. Well I shouldn’t have got my hopes up – Instead? What we got was a mixed bag, and honestly, I’m worried we’re dressing up austerity in a hospitality apron.
Here’s what’s changing, what’s not, and why I think the government still doesn’t fully grasp what this sector actually needs.
Business Rates Relief: A Step in the Right Direction – But Not the Whole Journey
I’ll give credit where it’s due – lowering business rates for smaller hospitality venues is a solid move. If you’re running a small pub or local café, you might finally see some relief from a fixed cost that’s been bleeding you dry for years.
But let’s not pretend this is a silver bullet. Larger venues – the ones trying to scale, create jobs and invest are getting slammed with a higher multiplier. It’s like rewarding survival but punishing growth. That really doesn’t make sense.
“The new rates system will help some, but it’s like sticking a plaster on a gaping wound,” said Kate Nicholls, UKHospitality CEO.
💡 If your venue is stuck in the middle – too big to benefit, too small to absorb the hit – it’s time to revisit your operational strategy. This is where The Fresh Group can step in with bespoke consultancy, helping you restructure with clarity and confidence.
The Minimum Wage Rise: A Moral Win, But a Math Problem
I’m all for fair wages – in fact The Fresh Group is a Living Wage Employer. Now, everyone deserves a decent standard of living. But a 4.1% jump in wages without relief on VAT, NI, or energy costs? That’s a grenade being lobbed into already fragile margins.
Many of the owners I speak with aren’t unwilling – they’re unable. Forced to juggle spreadsheets instead of service, cut hours instead of cake slices. The goodwill’s there, but the numbers really just don’t stack.
Here is a stat that is worth noting: Hospitality already carries a 75% pre-tax profit tax burden.
“We’re not against paying more – we’re against being asked to do it alone,” one operator told me. And he’s right.
📣 This is where flexible staffing solutions – like those offered through Fresh Talent – can help. Whether it’s temporary support, outsourced HR, or help managing payroll and benefits, they’re built for the pressures this industry faces daily.
Alcohol Duty Games: A Pint-Sized Gesture with a Hangover
A duty cut for draught pints? Great (I say sarcastically, because where does that saving come from for the actual bar?). But also a hike on bottles and cans? That’s smoke and mirrors. You can’t build a sustainable drinks strategy on gimmicks.
With costs rising across the board, many venues are being forced to rethink their entire bar model. But you shouldn’t have to do it alone.
🥂 The Fresh Group’s procurement and finance teams can help you audit your costs and renegotiate contracts with suppliers, turning small wins into sustainable savings.
Tourism Tax: The Knock-on Nobody Asked For
The new power for local authorities to introduce tourism taxes might sound minor – but for hotels, B&Bs and city-centre hospitality spots, it could be one headache too many.
Tourism already took a hammering post-COVID. Add another layer of cost for visitors, and it’s the small independents that feel the pain most.
🌍 If your venue sits in a future tax zone, The Fresh Group can help you plan around it – from revenue management to digital marketing strategies that reposition your offer to locals and tourists alike.
So Where’s the Real Support?
We needed bold action – VAT relief, employer NIC cuts, targeted training investment. What we got was… lip service, wrapped in austerity.
What hospitality businesses need now isn’t another Budget filled with half-measures. It’s hands-on, strategic, shoulder-to-shoulder support from people who actually understand the game.
🎯 That’s where The Fresh Group shines – were not just advisors, we are partners. From licence applications and HR compliance to full venue rebranding and recovery strategy, they’ll get stuck in right beside you.
We’re Still Standing – But Everyone’s Tired
Here’s what I know for certain: hospitality people are some of the most passionate, determined, and inventive people on the planet. But passion alone doesn’t pay the bills.
To survive what’s coming – and thrive beyond it – we need more than resilience. We need resources, relationships, and real support.
If you’re staring at your next P&L with dread, wondering how to retain staff, stay compliant, or just get the right people through the door, don’t go it alone.
🚀 Let The Fresh Group be part of your fightback. Whether it’s finding talent, improving processes, training your team or navigating the compliance minefield – we’ve been there, and we get it.
Because let’s be honest – no one builds something beautiful on shaky ground. And if the government won’t fix the foundation, then it’s up to us to shore it up ourselves.
