The Campaign for Pubs has launched its Pledge for Pubs, which it is asking election candidates to commit to, encapsulating hospitality’s most pressing issues.
The pledges being sought are:
- Give pubs protection, particularly to stop unnecessary closure and predatory purchasing
- An energy cap for businesses
- A fairer tax system for pubs
- Stop pubcos’ abuse of the tie system
- Introduce a community right to buy
- Support a Competition and Markets Authority review of the UK beer and pub sector
Other campaigning groups are making similar points. There’s not a huge amount being mentioned about beer and pubs in hustings and manifestos, but campaigners have just under two weeks remaining to get points across to those who want our cross against their name.
Here’s a summary of some of the announcements are arguments in the hot categories for hospitality and brewing.
Ingredients and energy costs
The Conservatives are trumpeting inflation reaching the Bank of England’s target or 2%. However, as the British Beer & Pub Association points out, the cost of energy and food and drink remains 25% higher than it was in 2022.
“We look forward to working with the next government to help put in the place the optimal fiscal and regulatory framework that will ensure the beer and pub sector does not just survive but thrives,” says BBPA chief executive, Emma McClarkin.
VAT
The Scottish National Party has committed to introducing a lower rate of VAT for hospitality. “With many pubs and breweries operating with extremely slim profit margins as a result of rising prices, costs, and energy bills, cutting VAT specifically for beer and cider would ease financial burdens to help the beer and pubs sector survive and thrive, and stem the rate of business closures which deprives communities of their local,” says CAMRA.
Leon Thompson, executive director of UK Hospitality Scotland, added: “We urge the SNP to work with the UK government to make the case for this change to VAT, which would drive economic growth, create new jobs, and keep prices low for consumers.”
A VAT cut for hospitality and tourism business has also been supported by the Alliance Party, fighting seats in Northern Ireland.
Beer duty
Labour shadow chancellor Rachel Reeves has hinted that Labour would freeze beer duty,as the Conservatives have done in office. She said this week: “Brits love our locals. Let’s back our landlords to keep our pubs going. We want to save the British pub because I know what an important institution they are in so many communities.”
Business rates
There’s widespread agreement that the business rates system needs an overhaul. Labour is committed to reform, but detail is vague.
“Pledging to abolish business rates and replace them with a business property tax is the easy bit,” says John Webber, head of business rates at commercial property specialist Colliers. “But we need to be able to advise businesses on what kind of taxes they will be paying under a Labour government and Labour’s vagueness is frustrating. They give no detail as to how they will replace the £30 billion of income that business rates raise.”
Weights and measures
CAMRA wants all political parties to commit to changing the law in the next Parliament to guarantee that punters get a full pint when they order one. This means the head on a pint or half-pint of beer is not included in the total volume.
Recent studies by the Chartered Institute of Trading Standards found that 86% of beer was short measured. Current laws leave consumers no recourse if they’re refused a top-up, says the consumer group.
