Pubs, restaurants, cafés, bars and live music venues across North Wales are set to benefit from a new business rates support package announced by the Welsh Government this week, offering a much-needed lifeline to local hospitality businesses facing rising costs and changing consumer habits.

Under the measure, around 4,400 hospitality businesses across Wales will be eligible for 15% relief on their business rates bills in 2026–27, helping establishments manage rising overheads as they continue to recover from years of financial pressure.

The support, backed by up to £8 million of funding, combines UK Government contributions with Welsh Government investment to extend relief to restaurants and cafés as well as traditional pubs and music venues.

Finance Secretary Mark Drakeford said pubs, restaurants, cafés, bars and live music venues “are at the heart of communities across Wales” and face “real pressures from rising costs and changing consumer habits”. He added that the additional support will help businesses as they adapt to these challenges and continue to serve local communities.

For many in North Wales, the measures will come as a welcome boost. The hospitality sector in the region has weathered a difficult period marked by rising operational costs, staffing shortages and uncertain consumer spending.

Across the UK, hospitality businesses have reported substantial cost pressures from increased energy bills, wage costs and higher business rates. Evidence shows that many pubs and restaurants are operating with tight margins, and closures have been rising nationally as a result of these economic strains.

In communities such as Conwy, Denbighshire and Gwynedd — where small pubs and cafés are often community hubs as much as businesses — owners say they have struggled to balance costs with attracting enough customers to stay financially viable.

Like many in the sector, North Wales operators have been lobbying for sustained support as they seek to recover from the pandemic’s aftermath and cope with the ongoing cost-of-living squeeze that has dampened discretionary spending by locals and visitors alike.

In addition to the 15% relief, the Welsh Government is also introducing a reduced business rates multiplier from April for the first time since 2010, and a £116 million transitional relief package to help smooth changes resulting from the latest revaluation of business rates.

Hospitality venues eligible for the relief will be able to apply through their local authority from April 2026, with councils providing the support locally. The cap on the relief for any single business will be £110,000 across Wales.

Hospitality owners and industry representatives in North Wales hope the measures will help stabilise the sector and preserve vital community spaces — from cosy village pubs to family-run restaurants and independent cafés — at a time when many are still rebuilding after years of turbulence.