I believe that pubs make an important contribution to our culture – fostering a sense of place and community – and the UK economy. The Government’s ‘Brexit Pubs Guarantee’ confirms the alcohol duty you pay for a drink on tap at your local pub will be up to 11p less per pint than what you will pay in a supermarket. Moreover, the new alcohol duty system implemented in August included a new Draught Relief that provides a significant duty discount on alcohol sold in containers of 20 litres or more in the on-trade.
The Government has already taken a third of properties out of business rates completely through Small Business Rates Relief and has frozen the tax rate for the last three years at a cost of £14.5 billion. The Government has also removed downwards caps from Transitional Relief.
I welcome the Chancellor's decision announced at Autumn Statement 2023 to freeze the Small Business Multiplier for another year and extend the Retail, Hospitality, and Leisure Relief Scheme, offering a 75 per cent discount on business rates up to £110,000. This will save the average independent pub over £12,800 next year at a cost of £4.3 billion.
You may also be aware that the Chancellor has decided to freeze all alcohol duty until 1 August 2024, meaning no increase in duty on beer, cider, wine or spirits.
Moreover, to continue to support the hospitality sector, the Government recently announced the extension of the temporary off-sales regulatory easement – set out in the Business and Planning Act 2020 – until 31 March 2025. This extension enables holders of licences that only cover ‘on sales’ to continue to sell alcohol for consumption off the premises, including ‘takeaway pints’, for a further 18 months.