“We are heading towards an apocalypse": Staggeringly Good Brewery to form "alliances" with independents as sky high business rates threaten to cripple them
Extortionate business rates are threatening to cripple an independent brewery and taproom, it has claimed, with its directors saying: “The battle is about to start.”
The directors of Staggering Good Brewery, in Rodney Road, Southsea, have made a “heartfelt proclamation” after being faced with a steep bill following a jump in its business rates.
Joe Ross and Jonathan Chapman have said that from April 2026, the business’s rateable value is set to rise from £76,500 to £89,500.
They said that despite receiving hospitality relief, the considerable increase in the rateable value will mean the brewery’s business rates will rise from £880 to over £3,000 per month in the space of just 14 months.
“We are going to go at this full force and blow the lid off this as much as we can. This is a heartfelt proclamation because it’s not just me. If it was just me I would think it is something we have done wrong as a business, but speaking to my mates who own businesses, they are also struggling - these are the businesses I use and love.
“We are going to form an alliance with independent business. We can all group together and have our voices heard.”
The Valuation Office Agency sets a business’ rateable value, which is then multiplied by a government-set rate to calculate how much is paid.
Joe added: “The rateable value of the billing is a bit of a dark art because there isn’t an explanation of how they come to find the value. It is ambiguous to say the least. It’s fragmented information so it’s hard to piece it together but it is something about the square footage, it’s location, what it could be rented for, the performance of the business - so these are the factors behind it.
“The industry is still reeling off the back of the pandemic. I imagine a lot of businesses are still paying back the bounceback loans so a lot of people will only just be coming out of that desperation to be faced with another one.”
In the wake of the pandemic, the hospitality industry received relief in an attempt to maintain the landscape of businesses across the sector in the UK.
However now the relief has been“retracted”, independents have started bearing the brunt of the climbing costs, resulting in a renewed decline for the first half of 2025, with 137 breweries closing last year, according to Society of Independent Brewers and Associates (SILBA).
He continued: “The government doesn’t have a foothold on what makes our high streets tick and we are heading towards an apocalypse.
“The difference for us is making a profit or making a loss. My business was about to start making a profit for the first time in ten years, but we are now going to make a loss.
“I genuinely feel as though in the next three years we are going to see an even sparser landscape when people go out. Is that really what we want our city to be? A smeared landscape of every other place we’ve been - not celebrating the culture or the people in the community? And the point that makes it scarier is that we are running towards it.”
Despite the government recently proposing pub business rates relief of 15 per cent, Staggeringly Good Brewery will still be faced with a bill of approximately £3,043 per month over 11 months.
Following a call with Stephen Morgan, MP for Portsmouth South, Joe and Jon wrote an open letter, which says: “As a small, independent brewery and taproom operating in Portsmouth we are exactly the kind of local, employment-generating hospitality business that government policy repeatedly claims to support. However, the reality of current business rates and tax policy is fundamentally at odds with those stated aims.
“Our wholesale beer sales already run on very tight margins. Layer on top the recent rises in NI, minimum wage, energy, and other fixed costs, and the numbers simply stop making sense.”
Commenting, Stephen Morgan said: “Portsmouth’s pubs are the lifeblood of our city bringing people together and helping to preserve the vitality of our high streets.
“I recognise that far too many pubs across this city have had to close their doors due to the massive challenges that they have faced in recent years, as well as the significant pressures that they continue to face.
“I welcome the government’s recently announced major support package, which is backing small business in our city with additional support, and a new High Streets Strategy will help tackle the long-term challenges being faced.
In a bid to continue trading, the brewery is planning to “pivot” and start utilising the space as much as possible, with pub games and more events in the pipeline.
A council spokesperson said: “We understand the significant pressures that rising operating costs, including increases in rateable values set nationally by the Valuation Office Agency (VOA), place on independent businesses. We appreciate how challenging this situation is for many organisations across the city, including Staggeringly Good Brewery.
“Business rates are determined by the VOA and not the Council. Only 49 per cent of business rates are retained by the local authority.
“Portsmouth City Council are committed to supporting independent businesses. Through the Portsmouth Business Support Service (PBSS) businesses can access free, comprehensive guidance covering funding and finance, business planning, HR and marketing advice, tailored 1‑to‑1 mentoring, and access to workshops and skills development.
“The council also delivers practical sector‑focused initiatives that help strengthen the hospitality, food and drink sectors. Our annual Southsea Food Festival provides a major platform for local traders to reach new customers, while our Eat the Island programme connects hospitality businesses with industry experts and local producers to explore new supply‑chain opportunities and business collaborations.”