Oral Answers to Questions

Debate between Peter Kyle and Tessa Munt

Thursday 21st May 2026 Commons Chamber

[Tessa Munt (Wells and Mendip Hills) (LD)]

7. What steps his Department is taking to support small and microbusinesses in rural areas.

[The Secretary of State for Business and Trade (Peter Kyle)]

Ensuring that business support takes account of rural needs is incredibly important for this Government. Around one in six people live in rural areas in England, with over 520,000 businesses contributing £259 billion to the English economy.

[Tessa Munt]

My constituent Jason runs The Cider Barn in the village of Draycott just outside Cheddar, a fantastic local venue that hosts live music and serves, unsurprisingly, really good local cider and ales. Jason was rocked by this year’s massive increase in business rates, which have jumped from £100 a month to £600 a month. I should not have to explain that that meant a significant rise in his operating costs. This kind of shock makes it so hard for micro and small businesses to survive, let alone to thrive. Given how important The Cider Barn is to the local community, what can the Minister say—and, importantly, do—to assure small businesses like Jason’s that they will be supported by this Government?

[Peter Kyle]

The fact that the hon. Lady’s constituent works in the hospitality sector and is located in a rural area means that he requires multiple types of support from this Government, which he is getting. We have permanently lowered the business rates multiplier for eligible retail, hospitality and leisure properties. That is worth nearly £1 billion and benefits over 750,000 businesses. I imagine that his business will fall within the definition of a small business. Just this week, we have introduced legislation to tackle late payments for small businesses, which will inject another £11 billion into the economy. This Government are on the side of businesses, whether they are in urban or rural areas and whether they are large or small.