STRUGGLING pubs and restaurants are funding tax cuts for high-end department stores such as Harrods and Selfridges, hospitality chiefs say.
Chancellor Rachel Reeves is accused of letting hard-up boozers and eateries pick up the bill in a shake-up of business rates.
Research by specialist firm Ryan Tax shows Harrods’ bill being lowered by £1.1million by 2027, to £8.7million.
Figures also show Selfridges will pay £622,000 less in rates for its London store, down to £8.7million.
Pubs and restaurants are expected to see an average £1,400 rise next year, according to UKHospitality.
The Treasury has pointed to £4.3billion in support that can be accessed to reduce costs.
A spokesman for the Treasury said: ““Without this support, pubs would face a 45 per cent increase in the total bills they pay next year.”
But UKHospitality chair Kate Nicholls said the situation was “outrageous”.
She said: “This is a damning example of how the business rates system has not been reformed in a way that delivers the Government’s intention to level the playing field to benefit hospitality businesses.”
Meanwhile, revellers will drink less booze over Christmas as consumer confidence remains muted, a study shows.
Nearly four in ten people expect to knock back less than usual over Christmas which rises to just under half, 48 per cent, for 18-34 year-olds.
A Barclays Consumer Spend report reveals that of those drinking less alcohol, more than a quarter are doing so to cut costs.
