Town centre businesses operating costs in Luton have risen by up to 40% since Covid

These figures will be further pressurised by extra taxes from April, which could add another £30,000 to £70,000 to their trading budgets, a meeting heard.

A task and finish group has been set up by Luton Borough Council to analyse the local night-time economy and see what improvements can be made.

A shift towards setting and experience-led socialising across various venues and art forms is evident, according to a report to the group. These are crucial factors and can be closely connected with social media, said the report.

“A generation gap is evident, with younger audiences challenging traditional socialising preference models.”

Michael Kill, from the International Nightlife Association, told the group: “Most of the businesses now are suffering from huge financial strain.

“Since pre-pandemic, the cost of operating has increased by 30 to 40 per cent,” he warned. “From next month, the expectation is we’ll see another £30,000 to £70,000 in extra taxes on top of that operating environment.

“Plenty of those businesses are looking for economic support, whether that’s innovation on the business rates, financial incentives around sustainability or group procurement strategies, where the cost of operation can be drawn down collectively.

“Bureaucracy around licensing and planning barriers can push away opportunities for investment and growth. Public safety and transport are also really important, with accessibility for staff and for consumers returning home.

“It’s reported 61 per cent of consumers are going out less frequently because of financial pressures, with 68 per cent of young people citing affordability as a barrier.”

LBC’s service director inclusive growth Sinead McNamara explained: “Three things are happening around economic development.

“We’ve LBC’s economic growth strategy, as well as the work of Luton BID and how it engages local businesses, with the town centre master plan as part of that.

“There’s also what’s happening with the Local Plan to manage premises frontages, which are a real issue and can make shop fronts appear scruffy.”

Liberal Democrat South councillor Steve Stephens, who chairs the group, said: “The final goal is to improve the offer, add to it and better communicate some of the events or venues there.

“Feedback from residents indicated it was like a ghost town, but that’s not the case. There are some good venues, such as the Bear Club, one of the best jazz clubs in the country, and the Hat Factory. There’s good public transport locally, but not necessarily at night-time.”

Labour Farley councillor Mahmood Hussain said: “Crime is down in the town centre, which is brilliant. But there’s no nightlife to have any of those incidents.

“There’s hardly anyone in many of those establishments. It’s what can we do as a local authority to encourage businesses in the centre to make the town vibrant.

“We want someone from our economic division to say if a pub could be given six-months or a year off their business rates to be successful. Other towns have used initiatives to persuade businesses to be open in the evening.”