The BBPA is urging government to invest in the sector to help it bridge the gap in revenues and enable pubs to play a leading role in building back better.
The British Beer & Pub Association, the leading trade association representing brewers and pubs, estimates a total of 60 million pints of beer were sold in Britain’s pubs over the August bank holiday weekend – 6 million fewer than the same period in 2019.
The trade association said the forecast was based on a survey of its members, who own 20,000 of the UK’s pubs and brew 90 percent of the beer in the UK.
It means that this bank holiday weekend alone, pubs will have lost out on £25 million in revenue from pint sales – down 10 percent on revenue for the same bank holiday in 2019.
As the brewing and pub sector in the UK gears up for recovery now the majority of restrictions have been lifted, the BBPA is urging the Government to invest in the sector to help it bridge the gap in revenues and enable pubs to play a leading role in building back better.
It says the UK brewing and pub sectors are grossly overtaxed and so to support their recovery and the Government’s levelling up agenda Government must reform or cut taxes on the sector to enable it to build back better.
As well as a reform of business rates, the trade association is also calling for a permanent cut in VAT in pubs which extends to the beer sold in them, and a Beer Duty cut.
In the UK, Beer Duty has increased by 60 percent over the last 20 years resulting in one of the highest rates of duty in Europe.
The BBPA says investment from the Government in pubs by cutting their taxes will deliver a strong return in levelling up communities across the UK.
A pub adds significant value to the local economy, creates jobs, acts as a social hub, and is a sought- after amenity when house hunting. 85 percent of pubs are based in community and rural areas, bringing jobs to parts of the UK that need them most. They employ over 600,000 people, of which 43 percent are aged under 25.
The BBPA is backing the Long Live The Local campaign which is calling for Government investment in pubs as part of the recovery and to build back better, by reforming Business Rates, VAT and a cut in Beer Duty. Over 50,000 people have signed the petition : https://www.longlivethelocal.pub calling on the Government to support pubs and breweries and nearly 40,000 have written to their MP directly to ask them to support pubs in their constituencies.
The British Beer & Pub Association issued a statement in which it confirmed: “Trading 10 percent down is a huge gap in sales for pubs, especially after 16 months of lockdown and heavy restrictions that destroyed trade. The Government must bridge the gap for pubs and invest in them. Reforming excessive Business Rates, permanently lowering VAT and cutting Beer Duty is clearly the answer.
“Pubs have so much to give to the UK’s recovery and building back better in communities across the country, so it’s a no-brainer.
“A pub adds significant value to the local economy, provides vital jobs and creates connected and vibrant communities. If the Government is serious about levelling up the UK and building back better, it must invest in our pubs so that they can help lead the much needed economic and social recovery.”
To sign the petition: https://www.longlivethelocal.pub