Chester pubs demand rate cut as smoking ban hits profits

Jun 23 2008 by David Holmes, Chester Chronicle

PUBS hit by the smoking ban will attempt to get their business rates lowered.

Chester PubWatch members were told by guest speaker Simon Lightfoot of the Valuation Office that such pubs could appeal the valuation of their business in a bid to getting it revised downwards.

Pubwatch chairman Frank Marnell, who runs the Watergate Inn, said: “The important thing is that they are really concerned and are showing concern about the amount of pubs, not only in Cheshire but across the country, that are closing.

“The last valuation was done in 2005 and the next one won’t be until 2010. It involves looking at personal circumstances and is more about turn-over than the square footage of the business.

“They are saying maybe they can help. I don’t know. Simon Lightfoot says everybody should apply because of the smoking ban.”

Mr Marnell, who is also secretary of the Licensed Victuallers’ Association, added: “What’s happened is people have given up coming out. They are staying at home and having some cans instead. The 5pm trade has virtually gone.

“It’s not so much of an issue in summer, it’s during the winter months when it hits us. If they go outside and have a ciggie they get cold and wet.”

Mr Marnell said it could be expensive to build smoking shelters even if the pub company made a financial contribution. And stringent rules over what constituted an acceptable structure had not helped either.

Having spent money on outdoor heaters, pubs were now being told these were contributing towards global warming, said Mr Marnell.

Mr Marnell said recent casualties of the difficult trading climate included Yates’ in Frodsham Street, Spital Vaults in Boughton and the Plumbers Arms in Newgate Street which had all shut their doors. The Flookersbrook in Hoole had recently closed for a short period but was now open again.

The law states there must be “a material change in circumstances” for an appeal against a business’ rateable valuation to be successful. In the past it has applied in cases where the nature of the business has changed, for example, the Lloyds TSB bank in St John Street, Chester, being converted into Cruise nightclub.

The Valuation Office had initially taken the view that the effects of the smoking ban may not be grounds for an appeal but there appears to have been a rethink.