The Government has announced a new 20% business rates discount for eligible pubs, social clubs and live music venues in England from April 2027. However, businesses like aesthetic clinics and beauty salons will not be included in the targeted relief.
The announcement has prompted renewed calls from industry bodies for personal care businesses to receive similar support, arguing that clinics and salons also play an important role in local high streets and communities.
Under the Government's plans, eligible hospitality and entertainment venues will receive an additional 20% reduction in their business rates bills during the 2027/28 financial year. The measure is intended to support businesses that contribute to local high streets and community life.
While the package is welcome news for the sectors included, it does not extend to aesthetic clinics or other personal care businesses, despite recent lobbying from organisations including the National Hair & Beauty Federation (NHBF) and the British Beauty Council.
For many clinic owners, business rates are a significant fixed overhead alongside rent, insurance, utilities, staffing costs and VAT. Unlike many businesses, aesthetic clinics rely on treatment rooms and specialist equipment, making it difficult to reduce premises costs or move services online.
The Government has not announced any additional targeted business rates support for the aesthetics sector, meaning clinics should continue planning on the basis of the current system while keeping an eye on any future reforms.
It is worth remembering that this announcement relates specifically to the new 20% discount. Depending on their circumstances, some businesses may still qualify for existing support, such as Small Business Rates Relief or other business rates measures.
Industry organisations have argued that aesthetic, beauty and hair businesses generate significant employment, apprenticeships and high street footfall, while also providing services that contribute to confidence and wellbeing.
The NHBF has called on the Government to extend future business rates support to the personal care sector as part of wider tax reforms. Meanwhile, the British Beauty Council has also urged ministers to recognise the economic contribution of clinics and salons when considering future high street support measures.
Whether those calls will result in future changes remains to be seen, with further details on wider business rates reform expected at the Autumn Budget.
Although this announcement will not change costs for most aesthetic clinics, it serves as a timely reminder to review your overall financial position.
Regularly assessing overheads, understanding your tax obligations and ensuring you're making use of any available reliefs can all help improve the long-term resilience of your business.
If you're reviewing your clinic finances, these Hamilton Fraser guides provide practical advice:
We'll continue to monitor developments around business rates reform and update our guidance if future changes affect aesthetic practitioners.
To find out how Hamilton Fraser can support you, get in touch with our experienced team today on 0800 63 43 881 or visit our website to get an online quote.
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