Business
New report from FSB sets out vision to transform British high streets
THE UK’s biggest business group has unveiled a package of new measures to help transform life on our ever-evolving high streets for the millions of small firms based on them.
Supporting pop-ups and temporary use initiatives for new businesses, creating mobile phone-based loyalty programmes, and showcasing local high streets in major tourism campaigns are some of the recommendations set out to revive the UK’s village, town and city centres, in a landmark new report by the Federation of Small Businesses (FSB).
The Future of the High Street report, published this week, builds up a picture of life for small firms in and around the high street and sets out a plan to help transform them into places that meet future needs and support the next generation of entrepreneurs, which is essential for a thriving economy.
FSB is calling for a specialised fund to be created to support pop-ups, markets, and temporary use initiatives for first-time businesses to encourage new ventures and help them set up on the high street. With more than a third (39%) of high street small businesses saying the availability of affordable commercial space is important for the future of an area, ensuring temporary spaces are available will not only fill vacant sites but also provide opportunities for small firms eager to launch in a physical premises.
The report, which features in-depth analysis following a large-scale survey of small businesses, also suggests a specialised fund to support a mobile phone-based loyalty programme for high street firms, and launching community-specific online marketplaces to showcase local shops and services.
To bring in visitors and increase footfall, local high streets should be featured in domestic and international tourism campaigns. FSB is encouraging tourism groups like VisitBritain, VisitEngland and Local Visitor Economy Partnerships to showcase the unique character and offerings of local high streets across the UK in promotions and coordination of campaigns.
The research also found plummeting consumer spending (70%), falling footfall (47%) and crime or anti-social behaviour (47%) are the biggest risks to high streets according to the small firms based on them.
- Over half of local businesses (57%) say a diverse range of independent businesses is one of the most important features for the long-term sustainability and future of their local high street.
- Good transport links are also key for the future of the high street, according to almost half (43%) of small businesses based on them.
- Around half (49%) of high street small businesses say parking facilities are managed poorly on their local high street.
- Since the beginning of the Covid-19 pandemic, most local businesses saw a range of closures on their local high street, including: retail stores (72%), hospitality (69%), banks (58%), post offices (28%), and entertainment venues (20%).
Tina McKenzie, Policy and Advocacy Chair at the Federation of Small Businesses (FSB), said: “Our small businesses are an integral part of the high street and will be central in leading the transformation of their local economies. By providing the infrastructure, flexibility and digital connectivity that modern businesses demand, high streets will have the resources available to become resilient, dynamic hubs ready for the future.
“As well as core recommendations targeting fundamental issues for small firms on the high street, including business rates, transport and parking, this report also lays out innovative asks to ensure these businesses can survive into the future and ultimately help revive our town centres.
“High streets must be helped to evolve to keep pace with changes in consumer behaviour as well as how small firms want to work. One example of this is introducing loyalty schemes for high streets to encourage local businesses to collaborate and incentivise consumers to shop, eat, and drink locally.
“It’s been exciting to hear from many online small firms that want to take steps to open up in a bricks and mortar premises on the high street. These businesses need support to make that change – and should be given the flexibility to access pop-up and temporary units. Before the General Election, we were pleased to see Labour’s emphasis on improving life on the high street for small firms. It’s now time for the new Government as well as local authorities to put these plans into action and ensure that small firms on our high streets are fully supported.”
According to the report’s other findings, empty units are a major blight on shopping streets across the UK, with more than two thirds (69%) of local businesses reporting them on their nearby high street. FSB is asking for a band of on-site high street chiefs responsible for the growth and wellbeing of high streets across the country, creating promotion plans and monitoring vacant units within their area.
The research also highlights the need for well-maintained and accessible modern public toilets and family-friendly services like creche facilities, encouraging visitors to stay longer, upping footfall and supporting the local economy.
Business rates remain a huge burden on high street small businesses, with the current Small Business Rate Relief (SBRR) a key part of their survival. Almost half (49%) of high street small businesses say they would not survive without SBRR. The research also found that more than half (54%) of high street small businesses would invest in or grow their businesses if the SBRR threshold was increased from £12,000 of rateable value to £25,000. FSB believes this increase would be a crucial step in allowing small firms to further foster growth.
The report calls for a high street hop scheme providing free bus fares on key routes during peak shopping days to help increase footfall and support local businesses. Offering free parking on at least two Saturdays, plus two additional days a month, would increase footfall and support local businesses by making high streets more accessible.
Business
Pembrokeshire businesses warn rates revaluation could force closures
LOCAL businesses from across Pembrokeshire have warned that sharp increases in business rates could lead to redundancies and closures, following a public meeting held in Saundersfoot on Monday (Dec 15).
The meeting, held at the Hean Castle venue, brought together traders from retail, hospitality, professional services and the visitor economy to raise concerns about the impact of the latest business rates revaluation, which will take effect from April 2026.
Among those attending were Samuel Kurtz MS, Conservative Member of the Senedd for Carmarthen West and South Pembrokeshire, and Pembrokeshire County Councillor Jonathan Grimes, who represents Pembroke St Mary South and Monkton.
Businesses described sudden and significant increases in rateable values, with some reporting rises of more than 100%, despite no expansion in premises or improvement in trading conditions.
Evidence presented to the meeting highlighted concerns first identified by Pembrokeshire County Councillor Huw Murphy, who has been raising the issue locally and working with businesses, The Herald and S4C to bring the scale of the increases to public attention.
Cllr Murphy was unable to attend the Saundersfoot meeting, but details were provided on his behalf by Lee Bridges, drawing on information from businesses in the Newport & District Chamber of Trade area and Dinas Cross.
Figures relating to twenty local businesses showed that eighteen are facing increases in their rateable values, with one business hit by a 140% rise from April 2026. The average increase across the group was 36%, pushing the combined rateable value from £499,000 to £679,000 — an additional £180,000 burden due to take effect within four months.
One affected business has already warned that staff redundancies will be “unavoidable” if the increases go ahead.
Attendees criticised the Welsh Government’s transitional relief arrangements, describing them as inadequate and warning that they fall short of the support currently available to parts of the tourism and hospitality sector.
Tourism and hospitality account for an estimated 23% of Pembrokeshire’s economy, and those present warned that unchecked increases could have a serious impact on employment in coastal communities dependent on visitor trade.
The 2026 revaluation is based on rental values from April 2024 and has sparked concern across the county, with reports elsewhere in Pembrokeshire of increases of up to 400%.
Following the meeting, Mr Kurtz confirmed that he has written to the Cabinet Secretary for Finance and Welsh Language, Mark Drakeford MS, warning that current relief measures are insufficient and risk “pushing otherwise viable businesses over a cliff edge”.
He said businesses are already making decisions to close as a direct result of the projected increases and called for urgent action to protect jobs and local economies.
Businesses are being urged to check their new rateable values on the Valuation Office Agency website and to seek advice or contact their local representatives if they believe the figures are inaccurate or unsustainable.
Image caption:
Business rates meeting: Traders gather in Saundersfoot to raise concerns over impending increases, with Samuel Kurtz MS addressing attendees (Pic: Sam Kurtz MS)


Business
Computer gaming lounge plans for Tenby cinema submitted
FORMAL plans to turn Tenby’s former Poundland and Royal Playhouse cinema to a retro computer gaming lounge have been submitted to the national park.
Following a takeover by investment firm Gordon Brothers, Poundland shut 57 stores earlier this year, including Tenby’s branch on White Lion Street.
In an application to Pembrokeshire Coast National Park, Matthew Mileson of Newport-based MB Games Ltd, seeks permission for a change of use of the former Gatehouse (Playhouse) Cinema, most recently used as a Poundland store to a retro gaming lounge.
This follows a recently submitted application for a ‘CONTINUE? Retro Gaming Lounge’ sign on the front of the former cinema, ahead of the wider scheme for a retro gaming facility at the former cinema site, which has a Grade-II-listed front façade.
A supporting statement for the change of use scheme through agent Asbri Planning Ltd says: “The proposed retro gaming lounge will be inviting to all ages, including families, groups and individuals with no age restriction. The applicant has several similar premises across other parts of the UK and operates under a successful business model.
“This includes a fee being payable to enter the premises which thereby grants access to unlimited game time to all consoles/arcade machines. There will be no slot or coin-based reward games, so the proposal would not be considered/classed as gambling. The site will provide snacks and drinks (including alcohol) which will be canned/bottled drinks.
“The sale of such drinks would be ancillary to the overall function of the premises, and a separate alcohol licence will be submitted, accordingly.”
It adds: “The development would provide a much-welcomed addition to White Lion Rd which will improve the vitality and viability of the immediate area by promoting greater levels of footfall within the area and introduce greater variety to the shopping frontage at this location.”
It proposes opening hours of 10-10, Sunday to Thursday, and to 11pm on Fridays and Saturdays.
The application, and the related signage scheme, will be considered by park planners at a later date.
Prior to being a Poundland, the site was the Royal Playhouse, which had its final curtain in early 2011 after running for nearly a century.
The cinema had been doing poor business after the opening of a multiplex in Carmarthen; in late 2010 the opening night of the-then latest Harry Potter blockbuster only attracted an audience of 12 people.
Business
Independent brewers join call for business rates relief as pub closures feared
INDEPENDENT brewers have joined growing calls for urgent, pub-specific relief on Business Rates amid fears that community pubs across west Wales and beyond could be forced to close.
The Society of Independent Brewers and Associates (SIBA) has warned that changes announced in the Autumn Budget will see pub costs rise sharply over the next three years, with the average pub facing a 76% increase in Business Rates. By comparison, large warehouse-style premises operated by online and technology giants are expected to see increases of around 16%.
The issue will be discussed at a meeting taking place on Monday in Saundersfoot, where local publicans, small brewers and business representatives are due to come together to examine the impact of rising Business Rates and escalating operating costs. The meeting is expected to focus on the future sustainability of community pubs, particularly in coastal and rural areas where they often act as vital social hubs as well as key local employers.
Independent breweries are particularly exposed, SIBA says, as the vast majority of their beer is sold through local community pubs. Many small breweries also operate their own pubs or taprooms, meaning they are hit twice by rising rates. Some independent brewers have reported rateable value increases of up to 300%, creating new costs they say will be extremely difficult to absorb.
New industry research published on Thursday (Dec 12) suggests that introducing a pub-specific Business Rates relief of 30% from April 1, 2026 could protect around 15,000 jobs currently under threat in the pubs sector and help prevent widespread closures.
The call for action follows an open letter sent last week by SIBA’s board, expressing deep concern at the impact of the Budget’s Business Rates decisions on the hospitality sector.
Andy Slee, Chief Executive of SIBA, said: “The last orders bell is ringing very loudly in our community pubs after the shock changes to Business Rates in the Budget.
“Publicans and brewers feel badly let down by a system that still isn’t fairly addressing the imbalance between big global tech companies and small business owners.
“We were promised proper reform of Business Rates in the Labour manifesto last year and a rebalancing of the tax regime, but this has not been delivered. Pubs therefore need urgent help to address the planned increase in costs through a pub-specific relief, followed by full and meaningful reform.”
Those attending Monday’s meeting in Saundersfoot are expected to consider how local voices can feed into the national debate and press for urgent action to protect community pubs across Pembrokeshire.

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