The Scottish Budget was recently announced and business rates changes can have a massive effect on survival

Sky News reported that, “Basic, intermediate and higher property rates will be reduced for businesses as well as transitional relief of £184m over the next three years for those impacted by the recent revaluation. There will be 15% non-domestic rates relief in 2026-27, worth £138m over three years for retail, hospitality and leisure premises, capped at £110,000 annually, while similar firms on Scotland’s islands will be given 100% relief.”

In response, Patrick Clover, Founder and CEO of Stampede said:

“Although the hope is that every little bit helps hospitality businesses, the reality is that for many businesses, this measure is not enough to solve problems right now to bring customers and revenue through doors within a sluggish economy, where consumers’ disposable income is low.

“Over the next three years, irrespective of this so-called ‘relief’, operational costs will likely significantly increase anyway; including energy costs, labour costs, food, beverage and alcohol. So, although it might feel like a ‘win’ for the Scottish Government, it’s a ‘draw’ at best for some in the hospitality sector – or a big fat ‘loss’ for others, potentially seeing some close their doors.”

“As businesses try to cope with the current situation, many operational changes are bound to be made. These will likely only provide marginal efficiency gains and cost savings for businesses, and operators will have their work cut out for them to keep costs down through the year, as they strive to increase footfall and revenue per head.

“So, achieving growth is still an essential focus for hospitality businesses in 2026. And, although many operators think bringing people through the doors is simply driven by tactics like menu changes, updating the ambience, or social media, a more sophisticated approach is needed these days. For operators to attract the right clientele through the door and keep them coming back, regardless of operational changes, investing in technology can be beneficial. For some, investing in tech may seem counterintuitive to what they need. But, in difficult times, businesses need to ask: what hurts more - strategic spending, or empty venues and zero revenue? The time for growth and change is now.”