'You're Barred!': Labour's Battle with Pubs Forecasts a Upcoming Year Problem.
Elected representatives heading back to their local areas this end of the week might feel a sense of relief as a turbulent political term concludes. Yet, for those planning to visit their local pub for a relaxing beer, festive cheer could be scarce. Actually, some may find they are unwelcome inside.
Over the past few weeks, businesses across the country have been posting signs that declare "No Labour MPs" in protest to revisions in business rates revealed by the Chancellor, Rachel Reeves, in her autumn financial statement.
This protest means one fewer haven for many government backbenchers seeking solace from the harsh truth of their party's unpopularity. Backbenchers now describe frequent animosity in everyday places after a challenging first 18 months that has seen the government's support drop sharply from around 34% to roughly under a fifth.
"It's challenging being the MP of the constituency you have forever lived in," remarked one. "The local pub is where we used to go with the kids and just be a ordinary family. But the recent visits we've just ended up being shouted at by other customers. Now I'm not even sure we'll be able to get in."
This feeling of frustration is visible in a online clip by Tom Hayes, the Member of Parliament for Bournemouth East, addressing being refused entry to one of his local pubs, the Larderhouse.
"We're in the festive period," he stated. "However the Larderhouse and other establishments with a 'MPs Not Welcome' notice in the window, they are undermining the inclusive culture that local entrepreneurs have helped to cultivate." He continued, "Politics must be kept politics off the town centre full stop, but particularly at Christmas."
'Pubs Have a Special Place in the British Psyche
After a challenging period marked by high costs, the COVID-19 crisis, and evolving social trends, landlords were optimistic the chancellor's statement might bring some relief—specifically through a long-promised revamp of the commercial tax system.
However the chancellor dashed those hopes, keeping the system largely unchanged and choosing instead to lower the multiplier and commit £4.3bn over three years in funding for the retail and hospitality sectors.
While seemingly a supportive move, the value of that support package has been overshadowed by the effect of a periodic property reassessment, which has caused the taxable value of pubs and restaurants to spike from their pandemic-era lows.
Starting from next April, business taxes are set to rise by 115% for the typical hotel and 76% for a public house, versus just four percent for large supermarkets and seven percent for distribution warehouses. Whitbread, which operates pubs, restaurants and the Premier Inn hotel chain, says 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: "Literally overnight, the worth of our business has doubled. That's going to be a massive rise for us."
This pressure on publicans is directly reflected in the price of a customer's pint.
"The price of a pint is now unaffordable. When we first started here 10 years ago, we charged £3.40 a pint. We're now verging on £7 a pint," Butler said.
Simultaneously, pandemic-related tax breaks are ending, while sector businesses are still absorbing rises in national insurance and the living wage from the previous budget.
"If you tried to design the least helpful budget for the hospitality sector and its customers, you would have come close to what was announced," stated Ash Corbett-Collins, the chair of Camra, the consumer organisation.
Many within the Labour party think this is a fight they ought to have avoided, not least because of the important place the community pub plays in society.
Richard Quigley, the Labour MP for the Isle of Wight West, who also runs a fish and chip shop on the island, argued: "We said for two years to pubs and hospitality businesses that we are going to offer relief but then they get hit by this revaluation. We cannot allow taxes going down for large multinational companies but up for small restaurants and pubs."
Some highlight that Keir Starmer himself has long been a frequent patron at his local, the Pineapple in north London, and frequently speaks of their significance to local communities. "There's nothing any of us like better than going to the pub for a drink, myself included," the PM stated in February.
Yet political analysts compare antagonising publicans to challenging NHS workers in terms of political risk.
Joe Twyman, co-founder of the public opinion consultancy Deltapoll, said: "In fiction and in fact, pubs have a unique position in the national consciousness.
"To a lot of individuals the neighborhood inn is regarded as an integral component of the locality, even if a significant number of those same people will rarely actually drink there.
"The danger for politicians with antagonising pubs is that your critics will easily be able to accuse you of attacking the very heart of this nation and its traditions, especially in rural areas. And they will be able to produce many powerful examples to prove their point."
'Nothing Personal'
One such instance is Andy Lennox, the landlord at the Old Thatch pub in Wimborne, Dorset, and the coordinator of the "MPs Barred" campaign. Lennox states he has distributed notices to nearly 1,000 venues and is mailing 100 more every day.
His action has been backed by a number of well-known figures, such as television presenter Jeremy Clarkson, who runs a pub called the Farmer's Dog, and pop star Rick Astley, who part-owns a bar in north London—though the latter has clarified he will not formally bar Labour MPs.
"We have long sought support for a very long time," said Lennox, who is demanding a short-term VAT reduction. "The government is presenting this as a support measure but that's not what people are feeling, and that is the thing that has angered so many people."
A number within the hospitality trade feel a protest targeting individual politicians is may be counterproductive. "It's questionable it's a effective strategy to ban the very individuals we should be trying to engage with and speak to," argued Corbett-Collins.
When asked this week, the Exchequer pointed to the assistance being made available to the sector. "We're protecting the hospitality industry with the budget's £4.3bn support package. This is in addition to our efforts to simplify licensing, maintaining our cut to alcohol duty on draught pints, and capping corporation tax," a representative stated.
The landlords, on the other hand, are in not the frame of mind to back down, even if turning away MPs