BBPA chairman Jonathan Neame slams "unsustainable" tax burden on pubs and brewers

Speaking at the BBPA’s annual dinner, Neame stressed how the reputation of the industry is “on the rise” among policy makers, and the importance of pubs recognised “across the political spectrum”, as it faces up to its responsibilities.

Pointing to areas such as alcohol-unit labelling and two-third pint glasses, Neame said the sector has “faced up to the nascent side of alcohol and shown what a responsible industry we are”. But he described the Treasury as a “citadel” that remains “impenetrable”.

“We want to pay our way. We too want the national deficit to reduce and the economy to pick up, but when 40% to 50% of all revenues in our sector go to excise duty and VAT, and companies such as Starbucks continue to pay next to nothing to the UK economy, there is something very wrong with our system.

“This tax burden is despised by pub-goers, hated by beer drinkers, and is crushing the licensees. This is a tax on socialising, a tax on communities, a tax on friendship that hits the poorest in our society hardest.”

Neame highlighted the success of the e-petition calling for the alcohol-duty escalator to be scrapped, which has passed the 100,000-mark needed for a Parliamentary debate, as an example of the benefits of unified action.

“Our message to Government is clear. We already contribute £19bn of economic activity and £11bn of tax.

“Any Government that is serious about growth, serious about jobs, investment and social cohesion, should see us as a priority partner
to invest with and not a cash cow.

“We have changed as an industry. It’s time for the Government and the Treasury to change too.”