Justin Tomlinson MP

Justin Tomlinson MP

MP For North Swindon

Justin Joins Calls For The Chancellor To Help Pubs In The Spring Budget

North Swindon MP has joined colleagues from across Parliament to call for the Chancellor to use the Spring Budget to support local pubs.

Justin was one of over 40 MPs who signed the All-Party Beer Group's letter to The Chancellor ahead of the Spring Budget next week.

The letter highlighted the important role pubs play in their community, and their contribution to the wider UK economy - as well as the challenges they are currently facing.

The brewing and pub sector, along with wider hospitality, is well placed to deliver solid economic returns for the UK. It is an industry that is at the heart of our local communities, providing safe social spaces which bring people together for all kinds of occasions, creating connections, and supporting our wellbeing.

However, operators remain under significant pressure, with the cost of conducting business leading to a reduction of 3766 licenced premises across the hospitality sector. This equates to 3.6 per cent of the sector in one year. The loss of a pub has severe ramifications for local communities and high streets in terms of economic value, employment, and community cohesion.

Creating the right economic and fiscal conditions to enable the industry to thrive is crucial. Investment in beer and pubs at this time will yield positive outcomes for economic growth in our towns, cities, and rural communities across the UK.

The letter has made several requests of the the Chancellor, including:

  • Capping the standard business rates multiplier. This is due to be increased in April at more than twice the rate of underlying inflation. The sector continues to call for an overhaul of the business rates system but recognise that this is unlikely in the short term.

  • A cut in overall Beer Duty. This would help mitigate costs being passed on to consumers and in doing so, support efforts to reduce inflation and also start to redress the duty level which remains one of the highest in Europe.

  • An extension of Draught Relief in pubs. The draught duty differential is currently 9.2%. Widening this further under the Brexit Pubs Guarantee would also help support pubs at this challenging time and benefit consumers. This would recognise the role pubs play in communities and in supporting responsible drinking. It would also help prevent further decline of high streets and maintain community hubs in rural areas.

Justin Tomlinson MP said: "I have long been a supporter of local pubs -and the hospitality sector in general - and absolutely understand their importance to their local communities and contribution to the economy.

Last year I joined calls for the Chancellor to extend the 75% rate relief for businesses in the retail, leisure and hospitality sectors, and was delighted when the extension was confirmed in the Autumn Budget.

With the Spring Budget being announced next week, I hope he is equally as receptive to the latest requests."

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