Skip to content
Search

Latest Stories

England and Wales record one pub a day closed in 2025 as taxes and rising costs bite

366 pubs demolished or converted in 2025 as rising costs and tax burden push hospitality sector to breaking point

England and Wales record one pub a day closed in 2025 as taxes and rising costs bite

Nearly 2,000 pubs have disappeared over the past five years

iStock

Highlights

  • 366 pubs permanently closed across England and Wales during 2025, averaging one per day.
  • Total pub count falls to 38,623 from 38,989, with nearly 2,000 lost over past five years.
  • Industry warns business rates recalculation in April 2026 will worsen crisis.

One pub disappeared every day across England and Wales during 2025, as sustained cost pressures continued to devastate the hospitality sector, according to analysis of government statistics.

A total of 366 pubs were demolished or converted for other uses over the year to December, with the overall number falling to 38,623 from 38,989 a year earlier. The figures, analysed by tax specialists at Ryan, include vacant premises being offered to let.


Alex Probyn, a property tax expert at Ryan, told The Guardian "These pubs have closed permanently, not temporarily. The buildings have been demolished or converted into housing, offices, nurseries, cafés or other uses. Once repurposed, they almost never return to pub use."

Nearly 2,000 pubs have disappeared over the past five years, although the pace of decline has marginally slowed.

Every region recorded a net loss during 2025, with the largest declines in the East Midlands, the north-west and Yorkshire and the Humber.

Tax pressure warnings

The closures came as pubs faced increases in the national minimum wage and national insurance contributions in April this year.

From April 2026, the outlook appears even bleaker as the rateable value of almost all commercial businesses will be recalculated, a process conducted every three years to determine business rates tax payments.

For pubs and some hospitality sectors, the rise has been unexpectedly large, despite a three-year tapered relief announced in the budget to prevent significant increases.

Probyn warned "This data should serve as a wake-up call. Many (pubs) survived the pandemic through resilience and community support, only to be pushed to the brink by rising costs and a rating system that no longer reflects economic reality."

Emma McClarkin, chief executive of the British Beer and Pub Association, added "Many of these closures are totally unnecessary and the result of a heavy tax and rates burden, which is why it's never been more vital for a pub-specific business rates relief which could prevent more closures and more job losses."

She emphasised "The situation is drastic and we want to work with government to ensure pubs are given a fair deal, otherwise communities will lose cherished local institutions and, once they're gone, they're gone for good."

A Treasury spokesperson defended the government's approach, stating "We're also protecting pubs and other businesses with the budget's £4.3bn support package, bringing total bill increases for pubs down to 4 per cent instead of the 45 per cent they would have faced without our support."

More For You

US stock market heads into 2026 on high after roller-coaster year

The S&P 500 fell to the brink of bear market territory, a 20 per cent drop from recent highs

Getty Images

US stock market heads into 2026 on high after roller-coaster year

Highlights

  • S&P 500 index on track for 17 per cent annual gain, third straight year of double-digit returns.
  • Gold prices surge nearly 70 per cent as investors seek safe haven assets amid global uncertainty.
  • Federal Reserve leadership change and AI stock valuations pose risks for 2026.

US stock investors are ending 2025 on a strong note despite a turbulent year marked by president Donald Trump's global trade tariffs and mounting economic uncertainties.

The S&P 500 index is poised to close the year up approximately 17 per cent, representing the third consecutive year of double-digit gains.

Keep Reading Show less