Restaurant blames looming tax hike for closure

The owners of a restaurant in Kent have blamed tax increases introduced in October's budget for its closure.

The Pumproom in Chatham said it had been struggling because of rising costs and reduced consumer spending power.

Increased national insurance payments announced by Chancellor Rachel Reeves have since made it impossible to cover their costs, the owners added.

The government said it was helping the hospitality industry by reducing duty on beer and making it easier for small businesses to claim tax relief.

The Pumproom was opened in 2020 as a fine dining restaurant and cocktail bar by the owners of the Copper Rivet Distillery in Chatham Maritime.

Matthew Russell of the distillery said: "The restaurant would have to increase its turnover or its prices by roughly 15% to cover the additional wage costs.

"We're from Medway, we're born and bred and brought up in Medway, and really wanted to bring something special to this part of Kent."