Admiral Pubs CEO Issues Dire Warning Over Business Rates Impact
The chief executive of a major northern pubs company has issued a stark warning that the current business rates system will "kill off" not just pubs but the entire high street unless fundamental reforms are implemented immediately. Chris Jowsey, who leads Chester-headquartered Admiral Taverns, delivered this urgent message during an exclusive interview with Capital Post, emphasizing that the government must honor its pledge to overhaul what he describes as a deeply flawed taxation system.
"Penalizing Bricks and Mortar" in Favor of Online Retail
Jowsey articulated a growing concern among physical retailers that the business rates framework unfairly disadvantages traditional storefront operations while providing favorable treatment to online competitors. "The current system, which ties rates directly to property values, means online retailers contribute minimal amounts despite generating substantial profits," he explained. "This approach effectively penalizes brick-and-mortar establishments, and high street businesses are suffering the consequences."
The Admiral Taverns CEO, whose company operates 1,365 community pubs across the United Kingdom, noted that every political party over the past two decades has promised business rates reform without delivering meaningful changes. "This government has committed to addressing this issue within the next couple of years, but they absolutely must follow through on that promise," Jowsey insisted. "If taxation continues in its current form, we won't just witness the demise of pubs—we'll see the complete collapse of our high streets."
Financial Pressures Mask Hospitality Sector Resilience
Despite posting impressive financial results that defy broader hospitality sector challenges, Jowsey revealed that escalating costs are creating unsustainable pressure. Admiral Taverns recently announced an eight percent revenue increase to £210.4 million, with underlying adjusted profit climbing thirteen percent to £68.9 million. The company invested £13.5 million in pub improvements during the last financial year while implementing sustainability measures to reduce overheads.
"Our cost base is expanding faster than our revenue, which severely limits profitability despite strong customer demand," Jowsey noted. He emphasized that rising tax burdens and employment expenses are obscuring what should be a period of resurgence for hospitality and nightlife venues across Britain.
Government Response and Industry Calls for Broader Support
The warning comes just weeks after Chancellor Rachel Reeves was compelled to announce emergency business rates support following budget changes that prompted sector-wide warnings of imminent collapse. Meanwhile, prominent hotel tycoon Surinder Arora has joined calls for expanding Labour's £300 million business rates relief package—currently limited to pubs—across the entire hospitality industry.
A Treasury spokesperson responded to these concerns by highlighting existing support measures: "We're backing the high street with a £4.3 billion Budget package designed to cap significant bill increases—preventing hikes for over half of business properties. Our Plan for Small Business will help SMEs access essential tools and support to unlock their potential. Later this year, we'll publish a new High Streets Strategy building upon the £5 billion Pride in Place program to revitalize neighborhoods and commercial districts."
As the debate intensifies, industry leaders like Jowsey maintain that only comprehensive business rates reform can preserve the unique character and economic vitality of Britain's high streets while ensuring fair competition between physical and digital retailers.
