Pubs employ more young people than ever, but it will now cost an extra £153m to maintain this workforce: Pubs are employing more young people than ever, but new employment costs mean it will now cost an extra £153m to maintain this workforce, the British Beer & Pub Association (BBPA) has warned. More than half (51%) of the overall pub sector’s workforce were aged 16 to 24 in 2024, figures from Oxford Economics reveal, equating to one in ten of all under 25-year-olds in the UK job market. The data, commissioned by the BBPA, shows that pubs currently employ 350,000 under 25-year-olds, up from 281,770 in 2019. However, new national insurance contributions announced in the Budget mean it will now cost pubs £153m extra to maintain the same amount of under-25 workers. The BBPA is calling on government to reconsider the timing of the new employment costs. Chief executive Emma McClarkin said: “Many will have worked behind a bar and know that it’s more than just a job. Our industry provides rewarding careers, helps younger people build skills, grow in confidence and fund university education or driving lessons. Without this vital work, many would struggle with rents, bills, and basic living. If we’re to keep people in work and put money in their pockets, business needs to be viable. We urge the government to reconsider the timings of the new employment costs and swiftly deliver meaningful business rate reforms. Only then can we continue to be the backbone of the UK job market and a cornerstone of the community.”

Scottish hospitality businesses set to pay up to 70% more in business rates than in England: UKHospitality Scotland has warned that Scottish hospitality businesses are set to pay up to 70% more in business rates than those in England. The trade body is calling for the Scottish government to introduce at least 40% business rates relief for hospitality businesses in its Budget next month. If this is not forthcoming, UKHospitality Scotland said a local pub in Scotland would pay almost £6,000 more than an equivalent business in England. A town centre restaurant would pay almost £10,000 more and a hotel would pay £26,000 more – 70% more than in England. UKHospitality Scotland is also calling for a clear roadmap to full business rates reform and for a reduction in the higher property rate to fall in line with that in England. “Scottish businesses need business rates support from the Scottish government, especially after they have missed out on relief measures in the past two Scottish Budgets,” said Leon Thompson, executive director of UKHospitality Scotland. “Venues will continue to find themselves tens of thousands of pounds out of pocket, compared with their English counterparts, if this happens again. This time, it will hit even harder when combined with billions more cost hitting businesses in April through employer national insurance contributions. Introducing at least 40% business rates relief for hospitality businesses could be the difference between venues choosing to employ more people and making investments or abandoning those plans in order to survive.”