Professor Dylan Jones-Evans OBE’s Post

The British Beer & Pub Association, has today sent an open letter to Rishi Sunak Keir Starmer and Edward Davey stressing the important role pubs and breweries play in communities across the UK. The letter has been signed by Young's Pubs and over 80 leading pub and brewing companies. The British beer and pub sector is one of the most historical, culturally significant, economically successful and dynamic components of British identity generating over 930k vital jobs in every part of the UK. It is imperative that the next government provides a sustainable and proportionate fiscal and regulatory framework that allows the sector to do what it does best; invest in our businesses and teams, embrace changing consumer tastes, and provide the community hubs that are the crucial and often invisible glue to social cohesion. Please ensure you share this open letter with your local Member of Parliament and let’s get the pub and brewing sector back to doing what it does best! https://lnkd.in/e32jCnpB #pubs #people #brewing #BBPA #uk #GB #community #beer #hospitality #reform #businessrates

BBPA Calls on Chancellor to Act on ‘Cost of Doing Business’ Crisis The British Beer and Pub Association (BBPA) is issuing an urgent call for government action ahead of the upcoming Budget. With 50 pubs closing each month in England and Wales, key brewing and pub leaders warn that without a beer duty cut and critical business reforms the beer and pub sector, a cornerstone of the UK economy and culture, pubs could close and it may be the end of the affordable pint. In a letter signed by 80 senior figures from the brewing and pub sector the BBPA reminds the Chancellor of the industry’s £34.4 billion contribution to the UK economy. The sector generates £18 billion in taxes, while supporting more than one million jobs nationwide. But, says the letter, despite this huge contribution to the Exchequer, soaring business costs are forcing many pubs to close. Since 2010, a fifth of UK pubs have been forced to shut down, with beer volumes dropping by around 10% in the same period. The BBPA represents nearly half of the nation’s pubs and breweries producing 90% of the UK’s beer. The letter said: “Our industry faces a cost of doing business crisis. We know ministers are aware of our challenges; we have highlighted them clearly in our representations to government and it is why the five-point plan for pubs was devised on the campaign trail. If that plan is not delivered, we will see pubs close and the end of the affordable pint.  When a pub struggles to survive, it cannot continue to be the beating heart of a community, keep employing staff, or contribute to economic growth.” An Unfair Tax Burden Despite recent freezes, UK beer duty remains nearly three times the European average, further compounding the financial struggles of the industry. Pubs are disproportionately burdened by business rates, paying up to five times more relative to turnover compared to other sectors. The BBPA is advocating for an extension of the current 75% business rates relief, which has saved many pubs from permanent closure and a cut in duty. The letter said: This is an historic low and the industry simply cannot afford other costs, let alone tax increases. Put plainly, for thousands of pubs and brewers across the country there is nothing left to give. “Pubs and brewers contribute to the fabric of British life. Beyond their economic role, they are hubs of social cohesion, where communities come together. The Chancellor must recognize this in her upcoming Budget and ensure we do not lose more of these essential businesses.” Cumulative Pressures Threaten Sector Survival The letter to the Chancellor highlights several urgent challenges, including the projected fees associated with the Extended Producer Responsibility scheme, which is the equivalent increase in duty on glass bottles by 7-14%. In addition, the proposed ban on outdoor smoking in pubs, which risks driving customers away, an anticipated rise in the National Living Wage, along with skyrocketing energy bills, al…

🍺 𝐌𝐨𝐫𝐞 𝐓𝐡𝐚𝐧 38,000 𝐁𝐫𝐢𝐭𝐢𝐬𝐡 𝐏𝐮𝐛𝐬 𝐭𝐨 𝐁𝐞𝐧𝐞𝐟𝐢𝐭 𝐟𝐫𝐨𝐦 6-𝐌𝐨𝐧𝐭𝐡 𝐀𝐥𝐜𝐨𝐡𝐨𝐥 𝐃𝐮𝐭𝐲 𝐅𝐫𝐞𝐞𝐳𝐞 🍺 As of 1 February 2024 (until 1 August 2024), a 6-month alcohol duty freeze is in effect which will benefit roughly 38,175 pubs across the UK. The duty freeze results in pints sold in pubs being up to 11p less than pints sold in supermarkets. Moreover, there will be up to 3p saved on a typical pint of beer, 2p for a typical pint of cider, 4p for a glass of whisky, and 18p for a bottle of wine. This measure comes in addition to £4.3b in business rates cuts and duty protection for pints sold in pubs, the aim being to prevent the closure of pubs which are deemed to be a crucial part of the fabric of the community. Exchequer Secretary to the Treasury, Gareth Davies, said: “𝘛𝘩𝘦 𝘨𝘳𝘦𝘢𝘵 𝘉𝘳𝘪𝘵𝘪𝘴𝘩 𝘱𝘶𝘣 𝘳𝘦𝘮𝘢𝘪𝘯𝘴 𝘢 𝘤𝘳𝘪𝘵𝘪𝘤𝘢𝘭 𝘱𝘢𝘳𝘵 𝘰𝘧 𝘤𝘰𝘮𝘮𝘶𝘯𝘪𝘵𝘪𝘦𝘴 𝘢𝘤𝘳𝘰𝘴𝘴 𝘵𝘩𝘦 𝘤𝘰𝘶𝘯𝘵𝘳𝘺, 𝘵𝘩𝘢𝘵’𝘴 𝘸𝘩𝘺 𝘸𝘦’𝘳𝘦 𝘩𝘦𝘭𝘱𝘪𝘯𝘨 𝘵𝘰 𝘬𝘦𝘦𝘱 𝘤𝘰𝘴𝘵𝘴 𝘭𝘰𝘸 𝘣𝘺 𝘧𝘳𝘦𝘦𝘻𝘪𝘯𝘨 𝘢𝘭𝘤𝘰𝘩𝘰𝘭 𝘥𝘶𝘵𝘺, 𝘳𝘦𝘥𝘶𝘤𝘪𝘯𝘨 𝘣𝘶𝘴𝘪𝘯𝘦𝘴𝘴 𝘳𝘢𝘵𝘦𝘴, 𝘢𝘯𝘥 𝘴𝘶𝘱𝘱𝘰𝘳𝘵𝘪𝘯𝘨 𝘰𝘯 𝘦𝘯𝘦𝘳𝘨𝘺 𝘤𝘰𝘴𝘵𝘴.” This is of course great news for all those who enjoy the simple comfort and community of a pint at their local pub. Hopefully these community hubs will be around for a long time to come! 🍻 #alcoholdutyfreeze #tax #pubs

Unfortunately, alcohol and hospitality didn't get much attention in the Spring Budget. Fortunately, no big changes were announced that could make the industry worse, which I suppose is a silver lining. Equally there were not many highlights. Thankfully the freeze on alcohol duty was upheld, If this was scrapped, it would have absolutely crucified the industry. While no big changes were announced that could make the industry any worse, the lack of what was mentioned about alcohol isn't going to help brewers or venues make things much better. Brewers needed that tax relief to have increased if they were to have any chance of competing with sales in places such as supermarkets, which have far lower tax thresholds on alcohol, which is why it's so much cheaper to pick up beers from the supermarket. It's just a shame because it doesn't feel like a level playing field for pubs and breweries at the moment. The photo below is of a well written article in the Sunday Times I saw a couple of weeks ago that highlights the battle hospitality venues are facing currently. Unfortunately, with the lack of VAT relief, we need to be prepared for more casualties from this great industry. Watch this space. 😬

Prime Minister Urged To Help Brewers & Pubs On Visit To Aberdeen As the Prime Minister addresses Scottish Conservative Party conference in Aberdeen, the Scottish Beer & Pub Association (SBPA) have called on him to help save Scottish pubs at next week’s budget by reducing beer duty and VAT for the sector. Scottish pubs have closed at twice the rate of their counterparts in England, partly due to the lack of business rates support, and the sector is now calling on UK Government to what it can to help stem the flow of closures by reducing beer duty and introducing a lower VAT rate for hospitality businesses. Commenting, Emma McClarkin, CEO of the SBPA said: “Scotland’s pubs are the lifeblood of communities up and down the country, but they are closing at an alarming rate. Urgent action is needed at next week’s budget to help them survive the current cost-of-living crisis and myriad of increased costs they face. “Beer remains the most prominent product sold in our pubs but is currently taxed at 12 times the rate of Germany. Due to that high tax rate, alongside other costs, the average pub income on a pint of lager is only 12p, whilst £1.52 is paid in tax to the UK Government. Reducing beer duty, alongside the introduction of a lower VAT rate for pubs would provide a tremendous boost to the industry, as well as for pub-goers. “The lack of business rates support afforded to Scottish pubs means that support next week is crucial to help stem the flow of closures experienced over the last year.” Net Pub Closure Rates 2023 England -0.9% Scotland -2.0% Wales -2.1% BBPA Analysis Cost of a 4.5% ABV Pint Average cost: £4.80 Tax: £1.52 (80p VAT; 49p duty; 11p NDR; 12p employment/other) Other Costs: £3.16 (£1.24 cost of sales; 91p wages; 24p utilities; 77p other costs) Pub income: 12p Read More:

The Labour party conference is in full swing, and doubtless there have been many fringe meetings and get-togethers, some in pubs and bars. But, comrades, pubs are for life and not just for conference, and there are steps you can take to help ensure that they not only survive but thrive #pubs #pubsnews #beer #beernews #budget2024

Local brewers are shutting up shop. What will come of that local pint of craft ale? What is Britain but a nation of beer drinkers? And sure – we like a Stella or a San Miguel as much as any old European nation, but there will always be a special place in our hearts for that pint of local ale down the boozer. Or… will there? A “perfect storm” of high taxes, narrow routes to market and bulky energy bills has led to a crisis in British brewing. The proportion of UK breweries which entered insolvency in 2023 grew by a staggering 82 per cent in 2023, rising from 38 in 2022 to 69 by the end of December. Continue reading 👇 https://bit.ly/4eUQFDE

I’m thinking pub today, a late Sunday lunch, in support of my varied and historic local pub scene The history of brewing beer and the iconic public house “pub” in the UK is intertwined, dating back to ancient times when beer was brewed in monasteries and alehouses. By the Middle Ages, brewing had become more commercialised, with inns that provided both accommodation and refreshment to travellers. The industrial revolution in the 18th and 19th centuries further transformed brewing into a large-scale industry with mass production of beer The pubs where I live have a rich history starting in medieval times, with our strategic location half-way between London and the coast and the docks in Portsmouth (hence my literal local ‘The Sea Horse’) that significantly contributed to the prosperity of our inns, especially in the 17th century with notable guests including nobility, royalty, Russian tsars, the King of Prussia. The Beerhouse Act in 1830, that any rate-payer could brew and sell beer for a two-guinea licence, to increase competition, lower prices, and encourage beer drinking instead of spirits, led to the growth of “houses at which the public could drink”, pubs, in my area with 70+ pubs by 1870 Despite changes in popularity and regulatory challenges, our pubs are important, with a rich tradition of brewing and community that continues like The Merry Harriers in Hascombe and Bat and Ball in Wisborough Green (see comments*) The pandemic was a crisis for pubs, exacerbated by the lockdowns and further by rising minimum wages, leading to a sharp drop in profitability. Despite the average pint price rising from £3.81 in 2019 to £4.80, profit per pint has plummeted from 27p to 12p. The sector hasn't recovered from Covid, worsened by Ukraine war-induced cost inflation and energy bills soaring; now the second-biggest expense for pubs Efforts to manage costs include reducing energy consumption and adjusting hours, but rising interest rates have significantly increased the cost of Covid-related debts. The sector also faces challenges from increased labour costs, with significant minimum wage hikes, and a persistent decline in pub footfall as we opt for cheaper at-home drinking, partly due to habit changes during lockdowns. Additionally, a price disparity between pub and supermarket beer, compounded by tax differences, exacerbates the situation This multifaceted crisis means our pubs have a tough outlook unless substantial changes (like #ReduceVAT #CutExcise #LowerRates) are made to address these challenges. So, like I said, I’m off to the pub • Britains pubs are in crisis (Feb’23) https://lnkd.in/eCWdsK8p • Brewers tough 2023 (Jan’23) https://lnkd.in/ey8dmsGF • Pubs surge pricing (Nov’23) https://lnkd.in/eaZCwvVD • Beer prices up (Oct’23) https://lnkd.in/eU-VBnxA #SundayLunch #SaveOurPubs #PintPriceRise #AleTrail #EnergyCrisis #MinimumWage #IBMRetail #IBMConsumer #FMCG #ConsumerGoods #Retail #RethinkRetail #RethinkRetailTopExpert IBM RETHINK Retail

Over 500 UK Pubs Closed For Good In 2023 Equating To 6,000 Job Losses Says BBPA A staggering 509 pubs closed their doors for good across the UK, according to new figures from the British Beer and Pub Association (BBPA). The closures were attributed to “Stubbornly high energy bills, some of the highest beer duty in Europe and no VAT relief has forced hundreds of our pubs to call last orders for the final time” said the BBPA The beer and pub industry currently supports 936,000 direct and indirect jobs and contributes in excess of £26.2 billion to the UK economy and generating £15.1bn in tax revenue. The closure of 509 pubs equates to more than 6,000 job losses within the sector. “When a community loses a pub, it does not just lose the building and jobs, it loses a cultural asset at the heart of the community that is impossible to replace,” said Emma McClarkin, chief executive of the BBPA. “In any local economy or community, pubs are an economic bellwether, and there is an obvious connection between the loss of pubs and the decline of local high streets. “At the last Autumn Statement, the chancellor provided a number of measures to support the beer and pub sector. But now is the time to stop the rot, and at this Budget we need to set a path to secure the long-term sustainability for brewers and pubs with a cut to beer duty, a cap to the business rates multiplier, and a reduction to the VAT applied for hospitality venues.” Read More:

Heatwave Could Pull In More Than £30 Million for UK Pubs, According to BBPA Pubs could be set for a massive multi-million pound boost as the sunny weather rolls in With Britain heading into a predicted to a heatwave, the sector could enjoy an uplift of 7 million pints and a £30 million windfall. The projected boost was based on comparing sales from a week in September 2023, which experienced similarly sunny weather. Over this period pubs sold 7.1m more pints than they did in an average week for the rest of that month. At today’s prices that would generate additional turnover of £34.2m. As pubs across the UK work their way towards the bank holiday, August may be the month the sector has been waiting for. Andrew Tighe, Director of Strategy and Policy of the British Beer and Pub Association said: “Nothing says summer more than a pint in your local beer garden and many Brits will be raising a glass to some much-needed warm weather. “After months of wet weather, this projected windfall could bring a ray of sunshine for pubs everywhere and help raise profits for a sector that plays a unique and important role in our culture and communities up and down the UK. “Pubs are an essential part of the British bank holiday, and the BBPA urges everyone to make the most of the sunny weather by visiting their local pub.” Read More: