Pubs Threaten Football Blackout Over Labour's Business Rates Revaluation
Publicans across England are warning they may be forced to stop showing live football matches following a controversial rule change implemented by the Labour government. The issue centres on how broadcasters Sky and TNT set subscription prices for commercial venues, which are now being aligned with a pub's rateable value – the same figure used to calculate mandatory business rates.
Subscription Costs Set to Skyrocket for Landlords
Landlords have expressed serious concerns that the recent changes to property tax under Chancellor Rachel Reeves will lead to subscription fees for essential sports channels increasing by thousands of pounds each year. This comes at a time when the hospitality sector is already grappling with a severe cost-of-living crisis.
Paul Sandford, landlord of the Railway Tavern in Dereham, Norfolk, provided a stark example. He revealed that his combined yearly costs for Sky and TNT subscriptions are set to rise by a staggering £7,200. "We wouldn't be able to pass it on to the customer, so we wouldn't be able to show it," Sandford told The Telegraph, indicating he would have "no alternative but to cancel" unless the broadcasters make special allowances for pubs.
Industry Campaigners Voice Their Opposition
The Campaign for Pubs has added its voice to the growing dissent. Spokesman Greg Mulholland stated: "If the revaluation goes ahead, already expensive sport TV costs will rise yet further, piling even more costs on pubs during this cost-of-living crisis. It is simply unsustainable and we urge the Chancellor to scrap the flawed revaluation and the dodgy system used to calculate it."
Mulholland further warned that without intervention, broadcasters risk having no venues left to show their sports content, a sentiment echoed by Sandford's blunt assessment of the situation.
Potential Government Solutions and Industry Response
To mitigate the crisis, the government could explore several support mechanisms:
- Introducing an additional relief package specifically for pubs to reduce their business rates bills. Past schemes have involved government funding for local authorities to grant extra relief to certain property classes.
- Reducing the new RHL (Revaluation Horizontal Link) multipliers. This change would benefit pubs but would also apply to other RHL property classes, such as shops and leisure facilities.
In response to the controversy, a Sky spokesman defended their pricing model to The Telegraph, saying: "Rateable value is one of many considerations that inform our pricing decisions. Our pricing reflects the unmissable experience and line-up of content that adds value to our customers’ businesses."
The dispute highlights the fragile financial state of many community pubs, which rely on live sports to attract customers, and raises questions about the broader impact of business rates policy on the UK's cultural and social infrastructure.
