The Campaign for Real Ale (CAMRA) today called on the Prime Minister to protect pubs and clubs after revealing 30 locations were closing every week.
Rishi Sunak visited the Great British Beer Festival, CAMRA’s flagship event, to meet key figures from the campaign, and talk with brewers, publicans and people from the wider industry.
CAMRA told the PM now was the time to act to support licensees, consumers and brewers.
The visit coincided with the introduction of change in the way beer and cider are taxed, which CAMRA campaigned for alongside leading voices from the pub and beer industry.
The new system came into effect yesterday (August 1) and sees a lower rate of tax paid on beer and cider sold on draught.
This recognises the social and community benefits pubs and clubs and is set to benefit small producers, pubs and ultimately consumers.
However, a technicality means the majority of publicans will no longer be able to sell takeaway pints, even when this would prevent waste or let designated drivers safely support their local brewer by taking a pint home from the pub.
The changes mean duty on wine and spirits will go up, described as a “hammer blow” by industry groups.
CAMRA called on the PM to take a common-sense approach and ensure that this practice can continue to form a unique feature of the UK on-trade.
Chairman Nik Antona said: “Today’s new alcohol tax system recognises for the first time that drinking great beer and cider in your local is the best way to enjoy a pint, along with all the social benefits that go hand-in-hand with a visit.
“However, costs for businesses and the price of a pint at the bar are still rising. Today I urged the Prime Minister to expand the difference between the lower and general rate of duty charged on pints to keep pub-going affordable.
“We need the government to do more to protect our pubs; not only are they a vital part of the UK’s long-held traditions and rich heritage, but they also provide an important social hub in our communities, which help reduce isolation and loneliness.”
CAMRA is calling on the Chancellor to use the Autumn Statement to amend the legislation that currently prevents takeaway draught beer and cider sales, address the unfair burden placed on pubs by the business rates system, and ensure that UK brewers and cider makers aren’t frozen out the market by global producers.
As of yesterday, the duty paid on drinks on tap in pubs will be up to 11p lower than at the supermarket, with the changes designed to help pubs compete on a level playing field with supermarkets.
The Brexit Pubs Guarantee announced in the Chancellor’s Spring Budget pledges pubs will pay less alcohol duty than supermarkets going forwards.
It comes as changes to the alcohol duty system also come into effect, which see drinks taxed by strength for the first time and a new relief – named Small Producer Relief – to support small businesses and drink start-ups.
The government said over 38,000 UK pubs will benefit from lower alcohol tax on drinks after expanding Draught Relief.
Sunak was reportedly heckled as he attended the beer festival and poured a pint.
Prime Minister Rishi Sunak said: “I want to support the drinks and hospitality industries that are helping to grow the economy, and the consumers who enjoy the end result.
“Not only will today’s changes mean that that the price of your pint in the pub is protected, but it will also benefit thousands of businesses across the country.
“We have taken advantage of Brexit to simplify the duty system, to reduce the price of a pint, and to back British pubs.”
