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Kate Nicholls, Chief Executive, UKHospitality – Image Credit UKHospitality
The Bank of England has held interest rates at 5%, with an overwhelming 8-1 vote of its Monetary Policy Committee.
The decision not to cut rates today makes the need to address the business rates cliff edge in April more urgent, according to the leading trade body.
Kate Nicholls, Chief Executive of UKHospitality, said: “It’s disappointing that interest rates will remain unchanged, after another month of stabilised inflation.
“These positive signs should have emboldened the Bank to take decisive action that would inject some confidence into businesses and, crucially for hospitality, begin to relieve the pressure of Covid loan repayments.
“These repayments remain a significant burden for businesses, particularly with interest rates remaining high.
“Without a rate cut today, the need for the Government to avoid a business rates cliff edge in April becomes more urgent. Venues face their bills quadrupling when relief ends, which is why we’re calling for action and for the Government to introduce a lower, permanent and universal multiplier for hospitality.
