Landlords and brewers beg Jeremy Hunt to freeze punishing alcohol duty in Autumn Statement
LANDLORDS, brewers and distillers sent Jeremy Hunt an SOS last night - declaring "Save our Sups."
The Sun today backs their call for the Chancellor to freeze alcohol duty and extend the business rates relief for boozers at the Autumn Statement.
They warn the average pint in Britain could shoot up by 20p overnight next week unless Mr Hunt steps in.
And distillers say with 80 per cent of a bottle of gin already taken in tax, it is “ludicrous” that you can now purchase Scotch cheaper in France or Spain than you can in Scotland.
The average price of pint of lager has already skyrocketed 50p in a year to £4.63, according to official figures, as pubs have passed on higher costs.
In London some pubs have started charging an average £8 per pint.
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The price of the average pint has risen by £1 in the past decade and doubled since the recession, the last time pub-goers across the country were forced to rein in spending on pints.
The British Beer and Pub Association last night warned that boozers will close at record speed and hundreds of jobs will be at risk if rates rise as planned.
The body fears every pub in Britain could shut up shop by 2075 without urgent intervention from the Chancellor.
Landlords are already battling a bleak economy, with inflation squeezing the ability of Brits to buy a pint.
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A shocking 124 million fewer beers were sold in the third quarter of 2023 compared to the year before.
The figure reflects a six per cent overall decline and a tragic 20 year low.
Emma McClarkin, Chief Executive of the BBPA said: “Pubs and brewers have faced major increases to their costs over the last few years, while doing everything in their power to limit price rises.
“The Government must use the Autumn Statement to extend the current business rate relief for pubs and cancel February’s planned beer duty rise.
“Brewers and pubs have no margin left to absorb these government-imposed costs.”
Lawson Mountstevens, Managing Director of HEINEKEN UK’s pub company, Star Pubs & Bars, said:“Pubs are at the heart of villages, towns and cities up and down the country and are bastions of community spirit.
“Freezing tax on beer and cider, and maintaining business rates relief is critical in supporting the great British local during one of the toughest times for the pub industry in living memory.
“We urge the government to continue to support pubs and in turn, the many thousands of people who work in them and the millions of people who enjoy their time there.”
Kate Nicholls, chief executive of UK Hospitality, said: "The hospitlaity is suffering from long economic covid - after 2 years of closures, soaring inflation and energy bills it is fragile and many businesses are struggling to break even.
"If business rate relief is not extended i. April it will be a hammer blow to community pubs and neighbourhood restaurants - hitting jobs and investment across our high streets. 3 out of 4 say it will make their future more uncertain with a quarter saying they will close and half cutting hours and jobs.
"Two thirds say they will cut investment and put up proces to cope just fuelling inflation and extending the economic misery
"Hospitality is beating heart of our communities and our economy. Removing relief will see it having to pay an extra £1bn in tax which is just unsustainable."
Tory MPs last night lined up to join industry leaders calling for booze duty to stay frozen.
Greg Smith told The Sun: “Pubs are the lifeblood of our towns and villages, but many find themselves teetering on the edge as the cost of living bites and we recover from the pandemic.
“It is essential the Chancellor supports our pubs and breweries and freezes or cuts beer duty and extends business rates relief.
“When rural pubs are gone, they are generally gone for good - and that would be a nightmare for the communities I represent.
Henry Smith said: “Pubs are a vital social hub and source of employment and prosperity across my constituency, but have faced over three years of harsh economic conditions since the pandemic.
“This is why the Autumn Statement provides a perfect opportunity for the Government to support pubs, and the massive value they bring to pubs across the whole of the country.”
Anthony Magnall added: “Pubs and pints have to be a large focus in the autumn statement. Protecting our British pubs and supporting our brewers is not just common sense but economic sense.
"The Chancellor must find a way to extend business rate relief and continue to freeze beer duty. If he does, we can all raise a glass to that.”
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A Treasury spokesperson said: “One third of businesses don’t pay business rates at all.
"But we know places like pubs face challenges which is why we have slashed their bills by 75 per cent, protected them from rising energy costs and are keeping the duty on pints down through our Brexit Pubs Guarantee.”