UNIONS warn today that a Welsh government cut in small business rates should not be at the expense of funding public services.

Pubs, restaurants, cafes, bars, licensed clubs, hotels, gyms, cinemas and other small high street businesses will have their rates bills cut by 30 per cent.

TUC Cymru general secretary Laura Doel said: “We support any measures which the government can take to reduce the cost of doing business, and the cost of living.

“However, any government must cautiously weigh these benefits with any proposed tax cut and the potentially negative impact that would have on the government’s ability to invest in our vital public services.”

First Minister Rhun ap Iorwerth said: “Our high streets are the heartbeat of communities right across Wales, and the businesses that fill them deserve our backing.

“This 30 per cent cut to rates for pubs, cafes, gyms, hotels and so many other local favourites is about giving those businesses the confidence to invest, grow and keep serving the communities that rely on them.”