Pub and Hospitality Sector — [Valerie Vaz in the Chair]

I certainly agree that, although in England the hospitality sector has long had a number of challenges, the picture north of the border is even worse because of decisions made by the Scottish Government.

It is essential that the Chancellor publishes the replacement for business rates. She announced three years ago that she would scrap them, but the sector is still no clearer about what she will bring in instead. It needs clarity next week. If for some reason, even after three years, the Chancellor still cannot say with what she is replacing business rates, she must commit to extending the 75% relief, and not just until next March or the March after but right up until a new system is in place.

Hospitality businesses are particularly impacted by high energy costs. The Government need to make good on the promises to help that they made before the election. The Prime Minister promised to take £53 billion off business energy bills by 2030. I ask the Minister a simple question: how much can hospitality businesses expect their energy bills to fall by next year?

Pubs and hospitality also need the Government to recognise the impact of regulation, no matter how well intentioned, on small hospitality businesses in particular. It was disappointing that neither the Deputy Prime Minister nor the Business Secretary seemed to acknowledge the warnings in their own impact assessment about the harms that could be caused to small businesses in sectors like hospitality by their employment legislation. Those fears are only made worse by reports the Government are considering further regulation, banning smoking in outdoor beer gardens and outside nightclubs. That change would have minimal, if any, health benefits while causing huge damage to venues. It could even have the perverse effect of shifting people from drinking outside in beer gardens to drinking and smoking more inside their homes.

Finally, as has been said, for the many pubs and hospitality venues that are just about getting by, the reported rise in employer’s national insurance contributions could tip many over the edge, making the difference between continuing and closing. If the Chancellor insists on going ahead with this highly damaging jobs tax, then it is even more important that the Government do more to support pubs and hospitality.

I again congratulate my hon. Friend the Member for Mid Leicestershire for bringing this debate, because pubs and hospitality are a force for good. They need and deserve our support.