Newscast – “Labour Get A Round Of Pub Support In”
Date: January 27, 2026
Host: Adam Fleming (with Simon Jack, Joe Pike & Laura Bicker)
Focus: U-turn on business rates for pubs, business impacts, the wider hospitality sector, leasehold reforms, Gorton & Denton by-election preview, UK-China relations and visit.
Episode Overview
This Newscast episode dives into the Labour government’s decision to revise business rates relief for pubs after a backlash, the impact on the broader hospitality and business sectors, and the political fallout. Key BBC correspondents unpack the details, discuss the surprising leasehold reform announcement, and provide by-election campaign updates. The episode finishes with a thoughtful look at UK-China relations as the Prime Minister visits Beijing, including insights into both the political stage and the personal experiences of BBC's China correspondent.
The Pub Rates U-Turn: Policy Change and Fallout
[02:10 - 09:10] Adam Fleming & Simon Jack on Business Rates
- The government reversed its plan on business rates for pubs following public and political backlash, mainly prompted by soaring rateable values offsetting earlier headline cuts.
- Business rates explained:
“The best way to think about them is like council tax for businesses…a percentage of the value, the rateable value of the property.” — Simon Jack [02:56] - The issue:
The announced “lowest rates in a generation” was overshadowed because the rateable values increased significantly, leading to higher bills for most, not less.“Net result: much, much higher bills for loads of businesses.” — Simon Jack [03:33]
Factors Squeezing Pubs and Businesses
- Cumulative pressures:
- End of COVID-era discounts (phased out entirely as of April)
- High energy costs
- Increases in employer National Insurance contributions
- The rise in national living wage, particularly impacting pubs/restaurants that often employ younger staff
- Steep hike in rateable values
- Withdrawal of specific sectoral supports
“So pubs were facing a six-tuple whammy, which I’ve just invented.” — Adam Fleming [05:50]
Details of the Government’s New Offer
- Pubs only: average rates bill rise capped at 15% in the next year, now to be offset with a matching 15% discount and a freeze (real terms) for two years.
“Today’s package says we’re going to knock that off…a 15% discount…and we’re going to freeze that for two years.” — Simon Jack [06:27]
- Excludes hotels, restaurants, and other high street sectors, many of which face even larger increases.
- “People who aren’t included…feel like they’ve been left out in the cold.” — Simon Jack [07:33]
- Longer term: The underlying method for valuing properties may change but not before the next rates revaluation (3 years away).
Political Impact and Criticism
- The political sensitivity and symbolism of pubs was debated:
“Pubs have a special place in their communities…they punch above their economic weight in political terms.” — Simon Jack [04:08]
- Labour’s quick response after internal Treasury recognition of flawed calculations post-budget. Some Conservative MPs and the Liberal Democrats criticize the measure as insufficient and too late for some struggling pubs.
“Labour MPs are happier today. But…the Liberal Democrats…have said, yeah, this is good, but what about everyone else on the high street?” — Joe Pike [11:33]
The Wider Hospitality and Business Sector Reaction
[08:16 - 10:09]
- There’s skepticism about pubs being uniquely vulnerable compared to hotels/restaurants.
“Do hotels and restaurants make more money? ...I don’t think there’s any evidence for that.” — Simon Jack [09:31]
- Notable commentary: “Some people feel that if I do well, I get punished for it,” referring to business rates being tied to profitability for pubs [07:53].
- The support is England-only, but the Barnett Formula means proportionate funding follows to devolved UK nations.
Leasehold Reform: “Feudal” System Overhaul
[12:12 - 15:15]
Definition Refresher:
- “Freehold is basically where you own the land and the property pretty much in perpetuity. Leasehold…means you don’t really own your property, not forever.” — Adam Fleming [12:28], Joe Pike [12:47]
The Change:
- Labour announced (notably, via TikTok) a cap on leasehold ground rents at £250/year, reducing to a nominal “peppercorn rent” after 40 years.
- Existing leasehold ground rents (not just for new builds) were previously left uncapped, despite Conservative reforms.
- MPs supportive but campaigners want faster action; some freeholders/investors criticize the damage to “UK as a stable investment location” [14:28].
“Forty years until there’s a peppercorn rent. I don’t want to wait 40 years!” — Joe Pike [14:28]
- Next step: draft legislation enters months-long consultation and possible amendments as it proceeds through Parliament.
By-Election Snapshot: Gorton & Denton
[16:02 - 20:54] Adam Fleming & Joe Pike
- The constituency is diverse and politically competitive:
- Four parties (Labour, Reform UK, Greens, Workers Party) polled over 10% at the last general election.
- Community issues: shopkeepers angered by parking and cycle-lane developments.
- New Reform UK candidate: Matt Goodwin, academic-turned-presenter, with claims to local links, but facing carpetbagger criticism.
- “Reform have said…Matt Goodwin’s family is from Manchester…he worked throughout his degree delivering fast food in the Gorton and Denton area.” — Joe Pike [18:58]
- The Workers Party candidate announced is local councillor Shabazz Sawa.
- The Labour candidate and Greens are yet to be confirmed at time of recording; a crowded field likely.
Preview: UK Prime Minister’s Visit to China
[20:57 - 38:31] Adam Fleming & Laura Bicker
Diplomatic Itinerary & Strategy
- PM will meet President Xi at the Great Hall of the People; a major business delegation will push trade deals.
- Beijing is framing the influx of Western leaders as “nations coming to China as a predictable, reliable partner” in contrast to US volatility [22:37].
- Laura Bicker notes UK is next on China’s “conveyor belt” of diplomatic engagement as global powers quietly re-engage.
UK’s Position & What’s at Stake
- The UK is not taking sides (US vs. China), focusing on trade.
- Britain’s offer: services, banking, education ties (e.g., “There are a million Chinese people who’ve studied in the UK.” — Laura Bicker [25:44]), and established alumni and cultural links.
Human Rights: The Difficult Conversation
- On pressing rights abuses: “The Brits go and read out from a bit of paper, do a bit of mild finger wagging and then the Chinese just go next.” — Adam Fleming [28:49]
- Beijing is confident and shrugs off Western criticisms, seeing them as perfunctory.
“When it comes to human rights…now is not the time to grab the megaphone. Yes, we’re going to bring it up, but at an appropriate time.” — Laura Bicker referencing Mark Carney [29:01]
Chinese Politics: Purges & Army Turmoil
- Major ongoing purges in the upper ranks of the People’s Liberation Army; speculation about President Xi eliminating rivals [31:22].
- Opaque outcomes for purged officials; some disappear, others are imprisoned, rarely reappear.
Reporting Insights:
- Laura discusses the challenges of covering China as a journalist — VPN workarounds, frequent police questions, restricted movement.
- However, China is lauded as a beautiful, welcoming country for visitors.
Notable Quotes and Memorable Moments
- “I don’t know what a six-tuple whammy is!” — Adam Fleming jokes about the multitude of pressures on pub businesses [05:50].
- “She’s bought herself a bit of cheer at the bar with pubs, but it doesn’t apply to the rest of the hospitality sector.” — Simon Jack [06:59]
- “This is a climb down. It is a partial U-turn.” — Joe Pike on Labour’s revised business rates policy [10:36]
- Human touch:
“I do not do all my stories involving alcohol or other Scots, but this was a Chinese businessman…he started brewing his own beer. Chinese love it. They’re flocking to his bar, eating fish and chips, drinking brown ale.” — Laura Bicker [27:04]
Timestamps for Key Segments
| Segment (Topic) | Start [MM:SS] | End [MM:SS] | |-------------------------------------------------|:-------------:|:-------------:| | Return of the Newscast Pub; rates policy intro | 02:10 | 02:50 | | Explaining business rates & policy change | 02:50 | 09:10 | | Political and economic fallout analysis | 09:10 | 12:12 | | Leasehold reform details | 12:12 | 15:33 | | Gorton & Denton by-election preview | 16:02 | 20:54 | | Prime Minister’s visit to China; preview | 20:57 | 31:22 | | China power shifts, journalistic context | 31:22 | 38:31 |
Tone & Style:
Conversational, informative, at times wry, human. The panelists blend accessible explanations, personal anecdotes, and sharp analysis throughout.
