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Why a British pub will close permanently in 2025

KANIKA SINGH RATHORE, 31/12/202531/12/2025

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UK pubs face a challenging year in 2025, with one closing permanently every day due to ongoing cost pressures.

New figures from an analysis of official government statistics show that 366 pubs were demolished or repurposed in the 12 months to December.

Industry leaders have described the situation as “serious”, especially since many pubs expect to pay an increase in property taxes starting in April. Figures compiled by Ryan tax experts show the total number of pubs in England and Wales, including vacant premises, fell from 38,989 to 38,623.

Alex Probyn, Practice Leader Europe Ryan’s head of property tax for Asia Pacific told the Press Association: “These pubs have closed permanently rather than temporarily.

Rising operating costs mean many pubs will close by 2025

Rising operating costs mean many pubs will close by 2025 (Getty Images)

“These buildings have been demolished or converted into housing, offices, nurseries, cafes or other uses.

“Once they are repurposed, they almost never come back to the pub.”

The figures highlight the growing pressure on the hospitality industry, with nearly 2,000 pubs disappearing in the past five years, although the pace of decline has slowed slightly.

Every region of England and Wales saw a net loss of pubs in 2025, with the biggest declines in pubs in the East Midlands, North West and Yorkshire and Humber regions, the data shows.

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In April this year, pubs and other businesses closed as they faced the impact of increases in the national minimum wage and National Insurance contributions.

Costs are set to rise again for many pubs next year, with average pub business rates rising from April after rateable values ​​rose by an average of 30 per cent.

Mr Probyn added: “This data should serve as a wake-up call. It reflects the deep structural pressures facing pubs.

“Many people have made it through the pandemic through resilience and community support, only to be pushed to the edge by rising costs and a ratings system that no longer reflects economic realities.”

Emma McClarkin, chief executive of the British Beer and Pub Association, said: “Every time we lose a pub we lose part of the social fabric.

“Many of these closures are completely unnecessary and are the result of heavy tax and rates burdens, which is why specific business rates relief for pubs has never been more important to prevent further closures and further job losses.

“The situation is serious and we want to work with government Make sure pubs get a fair shake or communities will lose treasured local institutions and once they are gone, they are gone forever. “

Uk Britishclosepermanentlypub

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