This afternoon the Chancellor, Rt Hon John Healey MP, delivered his maiden Budget Statement in the House of Commons outlining decisions on tax and spending.
We will be reviewing the detail of the announcements and providing members with further updates in due course, but below are some headline takeaways for the sector from the Budget today.
Business Rates
Following calls from the Alliance for targeted support on business rates for the sport and recreation sector, Government confirmed that business rates would be frozen for Retail, Leisure and Hospitality (RHL) businesses for two years from April 2027. While this does not reverse the impact of the 2026 revaluation, it provides some certainty for clubs and venues of their short-term business rates liability.
The threshold for 100% Small Business Rates Relief (SBRR) for Retail, Hospitality and Leisure (RHL) businesses will rise from £12,000 to £18,000 from April 2027. Tapered relief will be available for those businesses with a ratable value of between £18,000 and £21,000. This will help lift many of the smallest clubs and facilities out of paying business rates.
However, those clubs registered as Community Amateur Sports Clubs (CASCs) are not eligible for the full SBRR. Government should review the interaction of SBRR with other mandatory reliefs, such as charitable relief, to ensure equivalent premises are not disadvantaged due to being a CASC.
Northern Olympic and Paralympic Games
As trailed earlier in the week, the Chancellor confirmed £7m to explore how the Olympic and Paralympic Games could take place in northern England. The study will consider the kinds of venues and transport links required, how different cities could share the games, how communities could benefit and what the likely cost would be.
Any successful bid would likely be for a Games held in the 2040s.
Spending Review
It was confirmed that the Comprehensive Spending Review will take place in autumn 2027. This represents a key milestone where Government departmental budgets are set for the following years.
The Alliance will work closely with members on proposals in the lead up to the Spending Review.
National Living Wage and National Minimum Wage
For those organisations who employ people, both the National Living Wage and National Minimum Wage will rise by 3.9%. This will raise the National Living Wage to £13.21 an hour and the National Minimum Wage for 18-20 years olds to £11.27.
Devolution
The Fiscal Devolution Roadmap outlines a new funding model for regional and local government. This includes local Mayors retaining a 20% share of business rates from 2027 and retaining 100% of business rates income by 2030. Further information on English devolution will be outlined in the Rewiring the State Delivery Plan which is expected to be published by the end of the year.
Local authorities will be supported to improve their local areas as part of the High Streets Strategy. This includes £65m to help communities across England rescue and revamp beloved buildings and businesses at risk of closure, including sports clubs.
Lisa Wainwright MBE, CEO of Sport and Recreation Alliance said:
“We welcome the Government’s decision to freeze business rates for retail, hospitality and leisure premises. The Sport and Recreation Alliance has consistently advocated for target support for the sector. We hope these measures go some way towards recognising the financial pressures facing grassroots clubs and facilities, and the enormous positive contribution they make to communities across the country.
“However, challenges remain, and we will continue to work with Government to ensure the business rates system provides fair and sustainable support for the breadth of the sport and recreation sector, and create more opportunities for people to be active.
“We also welcome the funding announced to explore bringing the Olympic and Paralympic Games to the north of England. Hosting the Games would be a special opportunity to inspire future generations, through the fantastic work of our members, strengthening communities and delivering a lasting legacy for sport and physical activity.
“The Sport and Recreation Alliance will continue to advocate strongly on behalf of our members to Government and ensure the wider economic, health and social benefits of sport and recreation are fully recognised ahead of the Spending Review next year.”
The Sport and Recreation Alliance is delighted to announce that our 2026 Annual General Meeting (AGM) will be taking place on Thursday 12 November at The Greenhouse Centre in London.
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