Election 2010: The Publican's guide to the political parties' pub policy

By James Wilmore

- Last updated on GMT

Alcohol duty Labour's regime on alcohol duty has been a massive issue for the trade. In the past two years beer duty alone has been hiked by a...

Alcohol duty

Labour​'s regime on alcohol duty has been a massive issue for the trade. In the past two years beer duty alone has been hiked by a whopping 26 per cent. In the last Budget, Alistair Darling announced he would be extending the alcohol duty escalator until 2015. He also slapped a 10 per cent above-inflation rise on cider duty. However this will expire in June and have to go through Parliament again. Labour is planning to change the definition of cider so that higher-strength versions are taxed more.

The Tories​ have committed to raising taxes on "drinks related to anti-social behaviour", such as super-strength lagers, ciders and "alcopops". However shadow home secretary Chris Grayling has said "local traditional products" will not be affected. Labour's recent 10 per cent cider duty increase would be scrapped.

The Lib Dems​ promise to review the system around alcohol tax to ensure it tackles "binge-drinking", without "unfairly penalising responsible drinkers, pubs and important local industries". They also vow to review the beer duty escalator and "explore the possibility" of a preferential rate of duty for draught beer.

Supermarket deals/minimum pricing

Labour​'s approach to tackling cheap supermarket alcohol can only be described as a fudge. It looked as if the mandatory code would give councils the power to clamp down on bulk deals in the off-trade, but this condition was eventually left out. Gordon Brown has also repeatedly ruled out minimum pricing, saying it would punish the responsible majority of drinkers.

In its manifesto, the Conservative Party​ has committed to banning below-cost selling of alcohol in the off-trade, as a fairer solution than minimum pricing. The idea sounds attractive, but so far the Tories have not said how they would go about this. But they have said they are looking at the French model.

The Lib Dems​ say they support a ban on below-cost selling. On minimum pricing, they appear to have toned down their stance, having previously said they were in favour of a floor price. The party says it now favours the "principle" of minimum pricing, if it can be proved it will solve the problems of "irresponsible drinking".

Licensing
Despite relaxing licensing hours five years ago, Labour​ has caved in to pressure from the rightwing press over the Licensing Act. Brown has admitted the Act isn't working in some places and wants to give councils the power to restrict the opening hours of every licensed venue in a problem area. A consultation is also currently running on whether to offer licence exemptions for gigs that attract 100 people or fewer.

The Conservatives​ would "overhaul" the Licensing Act, based on their belief that the relaxation of the laws has been a disaster. The Tories say they plan to give councils the power to charge more for "late-night licences" to pay for extra policing, which sounds very similar to Labour's trumpeted alcohol disorder zones (ADZs). Another Tory pledge is the somewhat vague idea to give the authorities "much stronger powers". Any venue found "persistently selling to children" would be "permanently" shut down.

In an exclusive interview with The Publican last year, Lib Dem​ leader Nick Clegg said he had "always been in favour" of liberalising licensing hours, but attacked the government for failing to address the supermarkets and the price of alcohol. The Lib Dems believe many of the powers to tackle problems already exist and "they just need to be properly enforced". They have also promised to extend the exemption on gigs attracting up to 200 people and re-introduce the two-in-a-bar rule.

The beer tie

Labour​ would force pubcos to offer licensees a free-of-tie lease option and a guest beer option. If the pubcos have not complied with these proposals by June 2011, a Labour government would step in and legislate. Labour also says it is not ruling out a Competition Commission inquiry into the industry.

The official line from the Conservatives ​appears to back Labour's stance. A statement from Cameron's office said: "The Conservative Party supports the idea that should the industry fail to deliver self-regulation by June 2011, the government of the day should end up consulting on putting the code of practice on a statutory basis."

The Lib Dems ​have called for the Competition Commission to consider a cap on the number of pubs a company is allowed to own. They also promise to reform the beer tie. This would include allowing all tied tenants to be able to buy one guest beer, with tenants given a genuine choice to opt out of the tie. However, any landlord with a brewing capacity and owning fewer than 500 pubs would be exempt from any regulatory intervention in respect of the beer tie. Ties on fruit machines and quiz machines would also be cut.

Red tape/financial support

Labour​'s pubs minister John Healey unveiled a package of measures to support pubs in March. This included plans to allow pubs to diversify without needing planning permission from the council. Small business rate relief will also be increased for a year from October.

The Tories​ have pledged to cut business red tape. They have also promised to introduce a "community right to buy" scheme, to give local people the power to protect any local assets, such as pubs, that are threatened with closure.

The Lib Dems​ are in favour of a "one in, one out" policy on new regulation and follow-up reviews to check for unintended consequences of new legislation. The community pub would be enshrined in planning law to make sure any demolition or change of use is subject to the usual planning laws.

Other parties

UKIP​ has unveiled a host of proposals relating to the industry in a policy document called Pubs & Smoking​. This includes cutting duty on traditional draught beers, ciders and some lagers. It also wants the Royal Commission to investigate the price of beer for tied licensees and look at completely abolishing the tie. Among its other proposals are amendments to the smoking ban, to give licensees the choice of having a designated smoking room, and working with Sky to offer a fairer pricing structure.

The Green Party​ do not appear to be big fans of alcohol or smoking. Their manifesto includes plans to "gradually increase alcohol and tobacco taxes by about 50 per cent", to help pay for expenditure on the NHS. Unsurprisingly, the party also supports the smoking ban. Positives for the industry include a promise of "special help" for small rural businesses and "modifying" laws so small-scale live events in pubs are not "stifled".

For more information, visit: The BBC Election 2010 site's parties and issues page

Related topics Independent Operators

Property of the week

Follow us

Pub Trade Guides

View more