Despite campaigns led by the Campaign
for Real Ale and the British Beer and Pub Association, Chancellor Philip Hammond
has increased the duty on beer by 2p a pint in the March 2017 budget. Since
2013, pubs have enjoyed a consecutive cut in beer duty, and prices were also
frozen in 2016. But few venues have been able to pass these savings onto the
consumer because of increases in other rates. The government argues that this year’s
increase is in line with the inflation of the Retail Price Index. But since the
March 2017 budget, some venues have already increased their prices by as much
as 10p a pint.
The government has promised that
pubs which have a rateable value of less than £100,000 will receive a discount
of £1,000 this year on rates that they would have paid. This calculation is
based upon the pub’s rentable value of its space. However, some larger
rural-based pubs may not benefit from this relief as their rentable value can
be compared to the property market.
CAMRA believe that the pub is the
home of responsible drinking; offering you the chance to socialise with friends
while you enjoy your pint. However, high taxation is driving people away from
community pubs and towards the supermarket and other stores to buy their
beer.
The beer, brewing and pubs sector
provides nearly 900,000 jobs in the UK and contributes over £23 billion to the
economy each year. The UK also pays around 52p a pint on beer duty; the second
highest in Europe.
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