Weather Tonight: 4°c Partly Cloudy Night Morning: 8°c Cloudy

Business

Alistair Darling
Closing time: Alistair Darling has been urged to help as pubs are closing at a rate of five a day

Jobs plea to Darling but pubs in a brawl among themselves

8 Apr 2009


Civil war broke out in the pub trade once more today as pub companies blamed the Government for the loss of 60,000 industry jobs over the next five years while independent publicans said it is the giant pubcos that are guilty of selling out the traditional British boozer.

The blame for the slow death of the British pub trade — where beer sales have fallen to their lowest since the 1930s — was laid at the door of Government by industry lobby group the British Beer and Pub Association.

Recession, smoking bans and cheap supermarket beer have led to pubs closing at a rate of six a day but the BBPA said the Government's 18% increase in beer duty last year is hurting just as much. Chief executive David Long said in a submission to Chancellor Alistair Darling ahead of his Budget on 22 April: “Pubs are closing at a record rate and one in 10 of the 600,000 jobs in the sector are under threat.

“The Government is adding to the misery through punitive increases in tax. Last year, the Chancellor increased beer tax by 18% and also set out plans to impose a duty escalator of above-inflation taxes in each of the next four years. His justification then was that duty should rise in line with rising incomes. Today, average earnings are actually falling. The Chancellor must think again.”

But the Fair Pint Campaign, run by small independent landlords, says the giant pubcos such as Punch Taverns and Enterprise Inns, which fund the BBPA, are signing the death warrant for many pubs.

Fair Pint claims Punch has been trying to sell pub sites to supermarket chains, while Enterprise is accused of selling pubs with the express proviso they cannot be run as pubs in the future.

Fair Pint's Steve Corbett said: “Once again, it seems that the BBPA's public position is a dishonest one. After spending so much time and effort to try to convince MPs that supermarkets are hurting pubs, we find out that the pubcos are closing more pubs to sell to Tesco and other developers.”

Reader views (8)

 Add your view

So how do we go about getting this ridiculous ban repealed?

- Ron Atherton, Haverhill, UK, 13/05/2009 22:11
Report abuse

The BBPA and CAMRA totally underestimated the effects of the Smoking Ban on pub trade. CAMRA even announced to anyone who would listen that "Millions of non-smokers will flock back to the pubs". Their conclusion came from a bizarre interpretation of their own survey of pub drinkers before the imposition of the Ban.
A detailed analysis of their survey shows that between 35 and 40% of pub goers were smokers. I have seen further surveys giving figures as high as 50%.
No wonder the pub trade has been badly hit since July 2007, up to 50% of their customers have been ostracised by the Ban.
I travel abroad extensively and agree with Grim Reaper. I have seen the Bans collapsing in Germany, Belgium, The Netherlands, Luxembourg, Austria and other. Most of these countries offer a choice between smoking bars and non-smoking bars. Something that our PC Government didn't have the bottle to do themselves.
The Smoking Ban has had no effect on the number of people smoking. The latest published figures show a slight increase. The next set of figures will probably show a reduction, but this will be due to the Recession not the Ban.

- Andrew, London W1, 08/04/2009 20:04
Report abuse

Isn't it interesting that while the traditional 'tied house' system, of breweries fleecing the tenants of these brewery owned pubs, by forcibly restricting each tenant to primarily sell certain 'own brand' products, has [for almost 12 years] perversely been 'accepted' by this blatantly shameless and unprincipled McLabour Government; The House of Lords, which was similarly based on the supposedly 'outdated' Feudal System,
was not?

The ambiguous duplicity of ZaNuLabour and Big Business bedfellows again!

To improve the lot of pubs, sensible drinking needs
'encouraging' by government:
1. outdoor boozing on unlicenced premises [other than domestic home premises] should be banned, a la the US,
2. all brewers should be forced to sell all beers at similar standard wholesale costs to all pubs, and at a much lower [by as much as say £1] wholesale cost generally than all premises holding an off-licence,
3. remove the 'tie' and it's unfair 'sale restrictions',
4. fix a [higher] minimum standard price per unit in all supermarkets and off-licence chain stores, and
5. introduce a new [discouragingly high] standard penalty rates charge on these same supermarkets and chain store premises, payable to local councils, if the choose to stock any booze whatsoever, linked to the volume of alcohol they 'choose' to sell!
This way irresponsible off-licences can't easily use booze as a loss leader.
And local A+E should be first beneficiary of this new 'local rates' penalty tax!

- Dave, Cumbria, 08/04/2009 14:31
Report abuse

In most of the pubs in the UK the beer is too expensive however in the 'Powder Monkey' in Exmouth I recently paid 99p for a pint of Greene King and £1.79 for a pint of Marstons Pedigree. Needless to say the pub was packed it was of course a Wetherspoons and on top of that they had reasonable quality 'cheap nosh'. Why pay more !!!

- Nick Holland, glasgow, 08/04/2009 13:45
Report abuse

I have travelled across Europe recently and noticed that a lot of Bars/Pubs still have smoking. When I asked the staff why they told me that they had a CHOICE and seeing that most of their clientelle smoked they kept it how it was !! The brewers have shot themselves in the foot by bending over and taking it from the government. Weak very weak

- Grim Reaper, Hell, 08/04/2009 13:32
Report abuse

Darling's first move MUST be to remove ALL discounts afforded to MPs & politicians in the Parliamentary bars & mini-clubs.

His second move is to consider the ill-conceived forthcoming 2012 Olympics and plan where international tourists will be able to relax and spend ALL their money (which is supposed to boost our economy)! Not all the visitors to the Olympics are going to be able to afford nightly West End shows at about £50.00 a pop i.e. £200.00 for just a show for a family of 4 before a meals and refreshments costs! N.B. Mr Darling the recession is affecting other countries as well, you now!

Thirdly, Darling's third move must be to consider how many unemployed people he wants New Labour to be responsible for in the UK? Of course, this is probably the least of his worries currently, what with all the sleaze stories afoot regarding his colleagues claiming expenses in a manner that would be totally unacceptable and possibly regarded as fraudulent in any other business sector in the UK.

- Fraser, Telford Park, 08/04/2009 12:19
Report abuse

There is no doubt that the blanket smoking ban has affected the pub trade but they starting to die prior to that.
I've lost count of the number of pubs that have spent thousands in ripping out the character and history of a building and replacing it with plastic and steel seats and tables and then employ the most unsuitable (cheapest) staff imaginable and expect us to spend money in them.
The most heinous crime of all is running out of beer! How can you run a pub and be surprised that someone that wanders in wants a pint? Time after time I'm told, the Guinness has run out, no lager until tomorrow, etc etc.
Get your own act together and just maybe you will get 'locals' again.

- Roger, Surrey, 08/04/2009 11:21
Report abuse

He's taxed it and taxed it, almost to exstinction. Another reason for Labour to be proud.
Bring on the election.

- Dave Davies, Basingstoke, 08/04/2009 10:19
Report abuse


Add your comment

 

Terms and conditions Make text area bigger You have  characters left.

We welcome your opinions. This is a public forum. Libellous and abusive comments are not allowed. Please read our House Rules.

For information about privacy and cookies please read our Privacy Policy.


 

 

  • Slump looms in eurozone as economy takes a dive Euro Europe's lingering debt crisis has pushed the eurozone closer to recession as the beleaguered single currency bloc's economy shrank for the...
  • Sports Direct is on right track Mike Ashley Sports Direct is on track to hit its "super-stretch" profit targets this year, passing the first hurdle that could see it hand founder Mike...
  • Bank may turn off printing presses as inflation drops Mervyn King The Bank of England's latest £50 billion burst of quantitative easing may be the last time it needs to resort to the printing presses
  • Online orders on mobiles lift Domino's Pizza Domino's Pizza UK said its online sales have powered ahead to account for more than half of delivered sales
  • Debt deadline: Greece on brink Greek protests Hopes were rising that Greece will sign up to the first €130 billion (£109 billion) bailout from the European Union and International...
  • Frothy profits at Heineken Beer The economy might be in dire straits but Brits still love a pint down the pub
  • French banks face battering on exposure to Greek debt Jean-Laurent Bonaffé French banks look set to take one of the biggest haircuts on Greek debt as the country's largest, BNP Paribas, has said it had raised its...
  • Thorntons calls in a former Gunner to help turnaround Keith Edelman The chocolatier Thorntons has turned to the former boss of Arsenal football club to turn around its fortunes
  • LandSecs £1bn joint venture for Victoria A £1 billion-plus redevelopment is on the way at Victoria station
  • Morgan Crucible results surge on emerging market growth Morgan Crucible reported highest-ever full-year results, helped by strong performance across both its divisions, and reiterated that 2012 growth would be driven by new products and emerging markets
  •  
    Market Roundup
    WEDNESDAY UPDATE

    Barclaycard's exit leaves CPP with an identity crisis

    Bye bye Barclaycard. Nearly a year since the FSA started investigating CPP over its sales techniques, the identity theft protection firm touched a new, all-time low today after admitting it was losing one of its most high-profile clients

    More