'Entry Denied!': The Government's Battle with Pubs Signals a New Year Headache.
Government ministers returning to their home districts this end of the week might feel a sense of relief as a turbulent parliamentary session concludes. But, for those looking to stop by their community tavern for a restorative beer, goodwill could be lacking. In fact, some may discover they are barred from entry.
For weeks, establishments throughout the nation have been displaying signs that declare "No Labour MPs" in protest to revisions in commercial property taxes unveiled by the Finance Minister, Rachel Reeves, in her autumn financial statement.
This movement translates to one fewer retreat for many elected officials seeking solace from the bruising reality of their public disapproval. Backbenchers now say regular hostility in public spaces after a difficult first year and a half that has seen the approval numbers plummet from around a third to roughly under a fifth.
"It is difficult being the MP of the area you have always lived in," commented one. "Our neighborhood bar is where we went with the kids and just be a ordinary family. But the past occasions we've just ended up being verbally abused by other customers. Now I'm not even sure we'll be able to be served."
This feeling of frustration is clear in a social media post by Tom Hayes, the Labour MP for Bournemouth East, addressing being refused entry to one of his regular haunts, the Larderhouse.
"We're in the festive period," he stated. "However the Larderhouse and other establishments with a 'No Labour MPs' notice in the window, they are damaging the welcoming atmosphere that publicans have helped to cultivate." He added, "We need to remove politics off the high street altogether, but particularly at Christmas."
A Cherished Institution in the British Psyche
After a challenging period marked by rising expenses, the COVID-19 crisis, and evolving social trends, licensees were hopeful the budget might bring some relief—specifically through a long-promised revamp of the business rates system.
Yet the chancellor poured cold water on those expectations, keeping the system largely unchanged and opting rather to lower the multiplier and commit £4.3bn over three years in aid for the retail and hospitality sectors.
While seemingly a gesture of goodwill, the impact of that funding pledge has been dwarfed by the effect of a three-yearly property reassessment, which has caused the taxable value of hospitality venues to spike from their pandemic-era lows.
Starting from next April, rates are set to increase by 115% for the average hotel and 76% for a public house, in contrast to just four percent for big grocery chains and 7% for distribution warehouses. Whitbread, which owns multiple brands, estimates it will face an additional tax bill of between £40m and £50m as a outcome.
Joe Butler, the publican at the Tollemache Arms in Northamptonshire, commented: "With the click of a finger, the value of our business has doubled. That's going to be a huge increase for us."
This burden on publicans is certainly reflected in the price of a customer's pint.
"The cost of a drink is now prohibitively expensive. When we first took this pub on 10 years ago, we charged £3.40 a pint. We're now verging on £7 a pint," Butler said.
Simultaneously, pandemic-related tax discounts are being phased out, while sector businesses are still managing rises in employer contributions and the minimum wage from last year's budget.
"If you tried to design the least helpful budget for pubs and consumers, you couldn't have done much worse than what was announced," said Ash Corbett-Collins, the chair of Camra, the consumer organisation.
Several within the governing party think this is a battle they ought to have avoided, not least because of the vital place the community pub holds in national life.
Richard Quigley, the MP for the Isle of Wight West, who also runs a chip shop on the island, commented: "We pledged for two years to the sector that we are going to provide support but then they get hit by this new assessment. We can't have rates being reduced for big corporations but up for independent businesses."
Commentators highlight that Keir Starmer himself has historically been a frequent patron at his local, the Pineapple in north London, and frequently speaks of their significance to neighborhoods. "We all enjoy nothing more than going to the local for a drink, myself included," the prime minister said in February.
But political analysts compare picking a fight with publicans to doing so with NHS workers in terms of popular sentiment.
Joe Twyman, co-founder of the public opinion consultancy Deltapoll, explained: "From the Queen Vic to the Rovers Return, pubs have a unique position in the public imagination.
"In the public's view the neighborhood inn is regarded as an important part of the locality, even if a significant number of those same people will infrequently drink there.
"The political risk with alienating pubs is that your opponents will quickly accuse you of attacking the core of this country and its history, notably in the countryside. And they will be able to produce many heartfelt examples to prove their point."
'Not a Personal Vendetta'
One such case is Andy Lennox, the landlord at the Old Thatch pub in Wimborne, Dorset, and the coordinator of the "MPs Barred" initiative. Lennox says he has provided signs to nearly 1,000 establishments and is mailing 100 more every day.
His campaign has been backed by several prominent figures, such as broadcaster Jeremy Clarkson, who owns a pub called the Farmer's Dog, and pop star Rick Astley, who part-owns a brewpub in north London—though the latter has clarified he will not refuse service to Labour MPs.
"We have been asking for support for a very long time," explained Lennox, who is demanding a temporary VAT reduction. "The government is dressing this up as a relief package but that's not what people are feeling, and that is the thing that has angered so many people."
Several within the industry feel a protest targeting individual politicians is could backfire. "It's questionable it's a wise move to ban the exact people we should be trying to engage with and influence," argued Corbett-Collins.
When questioned this week, the Treasury highlighted the support being offered to hospitality. "We're protecting pubs, restaurants and cafes with the budget's £4.3bn investment. This is in addition to our efforts to ease licensing, maintaining our cut to alcohol duty on beer from the tap, and capping corporation tax," a representative stated.
The publicans, on the other hand, are in no mood to compromise, even if alienating MPs