Alcohol duty u-turn a ‘huge blow’, says BBPA

Trade bodies in the hospitality industry have criticised the decision to scrap the proposed freeze on alcohol duty, claiming it represents a “huge blow” to pubs and brewers.

Newly appointed chancellor of the exchequer Jeremy Hunt confirmed a u-turn on the planned freeze of alcohol duty proposed by his predecessor Kwasi Kwarteng in his budget statement on Monday 17 October.

Responding to the chancellor bringing forward measures from the medium-term fiscal statement and scrapping the alcohol duty freeze, Emma McClarkin, chief executive of the British Beer and Pub Association said: “The Chancellor’s decision today to reverse the Alcohol Duty freeze is a huge blow to brewers and pubs.

“The freeze would have delivered a £300million saving to our industry at a time when we desperately need any relief we can get, to help to keep a lid on spiralling costs and keep the price of pint affordable for pub goers this winter”.

She added: “The cost of doing business is completely out of control for pubs and brewers and the failure to act today to reduce pressures on businesses will hit them extremely hard. Our sector needs stability to plan and be able to keep serving communities at a reasonable price, but instead has been subject to ongoing uncertainty for too long.

“Waiting until a February budget to ease these pressures will be too late, we need the Chancellor to act before Winter really starts to bite for our brewers, pubs and the customers and we lose them forever in communities across the UK.”