'Not Welcome!': The Government's Battle with Pubs Signals a Fresh Year Challenge.
Labour MPs visiting their home districts this end of the week might experience a wave of relief as a chaotic parliamentary session ends. But, for those hoping to visit their neighborhood bar for a casual drink, goodwill could be in short supply. Actually, some may realize they are not allowed through the door.
Over the past few weeks, businesses throughout the nation have been putting up signs that declare "MPs Barred" in objection to revisions in business rates unveiled by the Chancellor, Rachel Reeves, in her most recent financial statement.
This movement results in one fewer escape for many elected officials seeking solace from the harsh truth of their public disapproval. Representatives now report commonplace animosity in community settings after a difficult first 18 months that has seen the approval numbers plummet from around a third to roughly under a fifth.
"It's challenging being the representative of the area you have forever lived in," remarked one. "That pub is where we would go with the kids and just be a ordinary family. But the past occasions we've just ended up being verbally abused by other patrons. Now I'm not even sure we'll be able to get in."
This feeling of frustration is clear in a recent video by Tom Hayes, the Labour MP for Bournemouth East, addressing being barred from one of his regular haunts, the Larderhouse.
"It's meant to be a time of joy," he stated. "Yet the Larderhouse and other establishments with a 'No Labour MPs' sticker in the window, they are damaging the community spirit that publicans have helped to cultivate." He added, "We have to get politics off the main street altogether, but above all at Christmas."
A Cherished Institution in the Public Consciousness
After a challenging period marked by rising expenses, the pandemic, and changing habits, licensees were hopeful the chancellor's statement might bring some support—specifically through a overdue reform of the business rates system.
However the chancellor poured cold water on those hopes, leaving the system unreformed and opting rather to reduce headline rates and pledge £4.3bn over three years in funding for the shops, pubs, and restaurants sectors.
While perhaps a gesture of goodwill, the value of that funding pledge has been dwarfed by the effect of a periodic property reassessment, which has caused the valuation of hospitality venues to increase sharply from their Covid-affected lows.
Starting from next April, business taxes are set to rise by 115% for the typical hotel and 76% for a pub, versus just 4% for big grocery chains and seven percent for distribution warehouses. A major hospitality group, which owns multiple brands, estimates it will face an additional tax bill of between £40m and £50m as a outcome.
Joe Butler, the landlord at the Tollemache Arms in Northamptonshire, explained: "Literally overnight, the valuation of our business has doubled. That's going to be a massive rise for us."
This financial strain on business owners is certainly felt in the price of a customer's pint.
"The cost of a drink is now unaffordable. When we first became landlords 10 years ago, we charged £3.40 a pint. We're now verging on £7 a pint," Butler stated.
Simultaneously, pandemic-related tax breaks are being phased out, while sector businesses are still coping with increases in national insurance and the living wage from last year's budget.
"If you wanted to write the worst possible financial plan for the hospitality sector and its customers, you wouldn't have got far away from what we saw," remarked Ash Corbett-Collins, the chair of Camra, the campaign for real ale.
Many within the Labour party think this is a fight they ought to have avoided, not least because of the central role the local pub plays in British culture.
Richard Quigley, the Labour MP for the Isle of Wight West, who also runs a chip shop on the island, said: "We pledged for two years to pubs and hospitality businesses that we are going to help you out but then they get slapped with this revaluation. We cannot allow taxes going down for large multinational companies but up for local venues."
Some note that Keir Starmer himself has historically been a frequent patron at his local pub, the Pineapple in north London, and regularly mentions their significance to local communities. "There is little we prefer than going to the pub for a drink, myself included," the PM remarked in February.
However strategists liken picking a fight with publicans to taking on NHS workers in terms of popular sentiment.
Joe Twyman, director of the polling firm Deltapoll, explained: "In fiction and in fact, pubs have a unique position in the national consciousness.
"To a lot of individuals the local pub is regarded as an important part of the locality, even if a significant number of those same people will seldom drink there.
"The danger for politicians with making an enemy of pubs is that your political rivals will easily be able to accuse you of attacking the very heart of this country and its history, notably in the countryside. And they will be able to produce many emotive examples to make their case."
'Nothing Personal'
One such instance is Andy Lennox, the landlord at the Old Thatch pub in Wimborne, Dorset, and the coordinator of the "No Labour MPs" initiative. Lennox states he has provided notices to nearly 1,000 establishments and is dispatching 100 more every day.
His protest has been backed by a number of prominent figures, such as television presenter Jeremy Clarkson, who owns a pub called the Farmer's Dog, and singer Rick Astley, who part-owns a bar in north London—however the latter has said he will not formally bar Labour MPs.
"We have been asking for relief for a very long time," explained Lennox, who is demanding a short-term VAT reduction. "Ministers is presenting this as a relief package but that's not what people are seeing, and that is the thing that has aggrieved so many people."
Some within the sector think a campaign targeting individual Labour MPs is could backfire. "I'm not sure it's a effective strategy to ban the exact people we should be trying to persuade and influence," commented Corbett-Collins.
When asked this week, the Exchequer highlighted the support being offered to hospitality. "We're protecting the hospitality industry with the budget's £4.3bn funding. This comes on top of our initiatives to simplify licensing, keeping our reduction to alcohol duty on beer from the tap, and limiting corporation tax," a representative said.
The business owners, nevertheless, are in little mood to compromise, even if losing MPs