Scottish government backs SHG call for review of non-domestic rates for licensed hospitality

The Scottish government has today backed the Scottish Hospitality Group’s call for an independent review of the unfair non-domestic rates (NDR) system for licensed hospitality.

John Swinney’s Programme for Government commits the administration to commissioning an “independent review” of NDR for licensed hospitality, which is to be completed by next year, with a commitment to implement the review’s recommendations before 2029.

The Scottish Hospitality Group has repeatedly called on the Scottish government to instigate such a review, having recently revealed ministers had shelved a long-standing commitment to reform non-domestic rates before revaluations in 2026.

Scottish Hospitality group director Stephen Montgomery said:“The Scottish Hospitality Group has repeatedly called for an independent review of the unfair non-domestic rates system for licensed hospitality, and it is welcome that the Scottish Government has finally listened to our demand.

“The licensed hospitality sector is facing a perfect storm of tax increases and rising costs, and we are pleased to see the Scottish government recognise the current non-domestic rates system is clearly not fit for purpose.

“Given its previous broken promises to the sector, it is now vital that the Scottish government urgently follow through on this pledge and proves it is acting in good faith.

“The Scottish Hospitality Group looks forward to playing a central role in the independent review process, as well as working with ministers to ensure the review helps deliver the necessary reforms to the unfair non-domestic rates system licensed hospitality so desperately needs.”