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One Pub a Day Lost for Good in 2025 as Business Rates Pressures Mount

An average of one pub a day disappeared from communities that they once served across England and Wales during 2025 calling final orders for the last time, according to new analysis by global tax firm Ryan, underlining the scale of permanent closures facing the sector ahead of the 2026 business rates revaluation.

According to Ryan, the total number of pubs liable for business rates fell from 38,989 at the end of December 2024 to 38,623 by the end of December 2025 a net loss of 366 pubs in a single calendar year, equivalent to one pub every day. The total number of pubs also includes those premises that are currently vacant or being marketed to let.

The figures highlight mounting pressure on the hospitality sector, with nearly 2,000 pubs disappearing over the past five years, even though the pace of decline has slowed marginally, and all ahead of the full impact of higher rateable values and changes to business rates reliefs taking effect from April next year.

Pub Closures by Year

Year Total Pubs Lost That Year
2020 40,617
2021 40,173 444
2022 39,787 386
2023 39,401 386
2024 38,989 412
2025 38,623 366

Source: global tax firm Ryan

Regional Breakdown: Pub Closures in 2025

Every region of England and Wales recorded a net loss of pubs during 2025, with the largest numerical declines seen in the East Midlands, North West and Yorkshire & the Humber.

Region End Dec 2024 End Dec 2025 Change
East 3,650 3,622 –28
East Midlands 3,496 3,427 –69
London 3,470 3,438 –32
North East 1,920 1,901 –19
North West 5,228 5,176 –52
South East 5,633 5,601 –32
South West 4,599 4,563 –36
Wales 2,905 2,877 –28
West Midlands 3,851 3,817 –34
Yorkshire & Humber 4,237 4,201 –36
Total 38,989 38,623 –366

Source: global tax firm Ryan

Permanent Closures, Not Temporary Pause

Alex Probyn, Practice Leader for Europe & Asia-Pacific Property Tax at global tax firm Ryan, said the losses reflected permanent closures rather than short term suspensions in trading:

“These pubs have closed permanently, not temporarily. The buildings have been demolished or converted into housing, offices, nurseries, cafés or other uses. Once repurposed, they almost never return to pub use.”

Pressure Building Ahead of the 2026 Revaluation

The closures come ahead of the 2026 business rates revaluation, which takes effect from April next year.

Under the Draft 2026 Local Rating Lists for pubs in England and Wales:

  • The average pub rateable value rises by 30%, from £30,945 to £40,245
  • Total pub RV increases by £364.75 million, from £1.214 billion to £1.578 billion
  • The uplift coincides with the abolition of the 40% Retail, Hospitality & Leisure relief, previously capped at £110,000 per business

Probyn said the figures should serve as a warning to policymakers adding:

“This data should serve as a wake up call. It reflects deep structural pressures on pubs. Many survived the pandemic through resilience and community support, only to be pushed to the brink by rising costs and a rating system that no longer reflects economic reality.”

“Turnover for many pubs has recovered, but profitability hasn’t. When rising wages, energy costs, alcohol duty and thinner margins collide with a 30% rise in rateable values and the loss of reliefs, the maths simply doesn’t work.”

Call for Reform

Ryan said the scale of closures underlines the case for reform of how pubs are assessed for business rates, calling for a full receipts and expenditure valuation approach that better reflects real-world viability rather than relying primarily on turnover.

Disappearing locals

For centuries, the local pub has been a cornerstone of British life, a meeting place, community hub, and source of local employment. But the latest figures show that the rate of decline remains relentless with hundreds more set to disappear.