Act Now Chancellor Urged or 2,000 Pubs Face Permanent Closure

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Under the current plans, duty will be cut on all drinks with alcohol content below 8 5 per cent, and a blanket tax of 12 5 per cent will be introduced for wines with alcohol content between 11 5–14 5 per cent

The BBPA is calling on the Chancellor to confirm the new rates as soon as possible and consider a much lower rate for draught beer sold in pubs

60% BEER DUTY INCREASE IN THE PAST 20 YEARS

It said beer duty has increased by 60 per cent over the last 20 years and now the UK has one of the highest rates in Europe

And ahead of the Energ y Bill Relief Scheme being significantly reduced from 1 April the BBPA is also continuing to highlight the poor practice of energ y suppliers and the ongoing impact soaring energ y costs is having on the industr y, insisting that the Government holds suppliers accountable and fix a broken system that is penalizing hospitality businesses

Sales Set To Decline

The BBPA’s call comes as data from Oxford Economics estimates ontrade beer sales will decline by 9% in 2023/4 This equates to one million fewer barrels of beer sold (288 million pints) and 25,000 potential job losses in pubs and the wider industr y

It also follows a new sur vey that reveals just how much Brits value their beloved locals – with venues up and down the countr y celebrated as spaces that provide first jobs, form friendships, bring communities together and help people find love

69% of respondents agreed that local pubs play an impor tant role in bringing communities together, while over two thirds (67%) say they play an impor tant role in creating jobs Six in 10 of us (60%) are concerned about an increase in loneliness if more local pubs close down, whilst 42% agree that closure of their local pub would devastate their community

In what’s being termed a make-or-break moment for the sector, the

BBPA are also encouraging those interested in suppor ting their local pub to sign their Long Live the Local petition at longlivethelocal pub and share their favourite pub memories across social media using #LongLiveTheLocal

Three Years Of Tough Trading

Chief Executive of the British Beer and Pub Association Emma McClarkin said: “It is crucial the Government shows in this budget that it understands the pressures the sector is facing and just how much our pubs and breweries mean to communities ever ywhere across the UK

“We urgently need the Chancellor to deliver a plan for sustainable growth with fair, modernised tax rates and a focus on skills and training needed to ensure pubs and breweries can thrive

After almost three years of extremely tough trading conditions due to lockdowns, an energ y crisis, supply chain disruptions and more , now is a make-or-break moment to save our locals and breweries from failure now in the years to come , we need the Government to act now or risk losing something ver y special forever ”

Joanne Farrell, who has run the Windsor Castle near Stockpor t for over 15 years, said she has resor ted to installing a wood burner to save on bills, hoovering in the dark and lighting candles where possible to avoid using too much electricity She detailed how she’s worried that if people don’t use their local pubs they will close for good and these special places at the hear t of their communities will be lost forever

Emma Shepherd who runs The Blue Ball Inn in Worrall, Yorkshire , said her fixed rate electricity contract is due to end in just under a month’s time and she is struggling to find a new provider, with one quoting a standing charge rate that would be a 1000%+ increase on what she currently pays She describes herself as passionate about keeping the pub open at the hear t of the community, where it regularly raises money for local good causes, and hosts events and oppor tunities for local people to come together, from coffee mornings to dementia friendly days

ENERGY COSTS “ROCKETED”

Anthony Pender from the historic Somerstown Coffee House in London, a pub with with a special interest in ser ving brilliant ales and

British seafood, said, “In Januar y my gas bill was 4,800 and we had £1,600 government relief Similar bills were generally around £800 prior to increases Without relief and at full business rates we would lose money as a venue ”

Keris de Villiers, of the Pig & Whistle in Wandswor th, said in 10 years of running the pub she has never found it so difficult to turn a profit

She said, “ we got through Covid, but the cost of living crisis is worse costs on ever ything across our business from energ y to ingredients have rocketed ”

These stories are by no means outliers With cost pressures and slowing consumer spend, combined with a fur ther duty increase in August, the sector is grappling with the significant fear of widespread closures

Fur ther concern comes from the current Energ y Bill Relief Scheme suppor t ending on 31st of March, meaning many pubs and breweries will again be subject to rocketing bills that threaten to them to declare last orders once and for all