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BBPA welcomes SBR reforms

The British Beer and Pub Association (BBPA) has welcomed the government’s continued commitment to Small Brewer Relief (SBR) and “improvements to its current structure”.

It also welcomed the launch of the business rates review and an “expected” timescale for the Alcohol Duty Review. The trade association highlights that the purpose of SBR, which is now worth £75m to small brewers, is to compensate for diseconomies of scale.

BBPA said it hopes the measures announced will build on the success of SBR, whilst supporting growth among brewers of all sizes by addressing the “long-standing distortions” caused by the current structure.

The trade association added that it “looked forward” to responding to the Alcohol Duty Review highlighting the case for further support for brewing and pubs as they emerge from the Covid-19 lockdown.

Likewise, the BBPA welcomed the announcement of a Business Rates Review. It revealed that pubs pay 2.8% of the entire business rates bill, despite accounting for just 0.5% of business turnover and pay more rates as a percentage of sales than any other sector, meaning reform for business rates has long been needed to support Britain’s pubs. 

Emma McClarkin, CEO of the BBPA, said: “Following an extensive review, we welcome the government’s continued commitment to our sector with the announcement today on Small Brewers Relief. 

“Now worth £75m per year to small brewers, the changes announced today aim to build on the success of the scheme. We hope the measures announced will support growth among brewers of all sizes.”

She added: “It is critical that brewers of all sizes now join forces to campaign for a significant reduction in the overall UK beer duty rate, which is hindering the recovery and future of our great industry.”

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