Responding to the Chancellor of the Exchequer’s Budget statement Ash Corbett-Collins, CAMRA Chairman said:
“This is a dark day for UK drinkers, pubs and breweries. Instead of offering a bold package to save and support the UK's pubs, the Chancellor has chosen not to help with VAT, energy bills or Employer National Insurance contributions. Pubs and breweries can contribute to economic growth but only with proper support from the Government on sky-high costs which are making it impossible for many pubs to survive and thrive."
On business rates, Ash said:
“The government is going to introduce permanently lower business rates for hospitality next year. Whilst this sounds like a positive step, and the Treasury says all pubs will pay a ‘lower tax rate’ than they do at present, there is a sting in the tail. Because these changes come in at the same time as the government are ending the 40 per cent discount on business rates bills for pubs, licensees face having to pay more than they do at the moment! Although ‘tax rates’ will be lower, without the 40 per cent discount some bills could end up being higher.
“Obviously this is disgraceful at a time when other costs are rising for pubs. We will keep up our campaign for a truly fairer business rates system and lower bills for hospitality businesses."
On alcohol duty, Ash said:
“We are bitterly disappointed that alcohol duty has been hiked today. Instead of delivering a substantial cut in tax breweries pay on their beer going to be sold in pubs, the Chancellor has made the damaging choice to hike alcohol duties, including on draught beer and cider. As well as a cut in VAT and help with energy costs and Employer National Insurance contributions, Rachel Reeves should have taken action to recognise the benefits of drinking in community locals by slashing tax specifically on pints in pubs by up to 50% to help them compete with cheap supermarket alcohol. This extra hike in taxes on drinking in the pub can only risk more pubs and breweries being lost to the communities they serve.”
On changes to the licensing system, Ash said:
“Pubgoers and pub licensees will be shocked that the only mention of supporting pubs in the Chancellor’s statement was re-announcing some tinkering around the edges of the licensing system in England and Wales. This just doesn’t cut it. Hundreds of pubs have closed this year and thousands more are at risk because of this Budget where no support has been given on VAT, energy bills, alcohol duty or Employer National Insurance contributions.”
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