Beer duty cut delivers spending boost to pubs

02-May-2013 - Last updated on 11-Mar-2017 at 18:58 GMT

Spending on credit and debit card in pubs has increased by 4% following the cut in beer duty in the Budget, new research from Barclaycard shows.

The research looked at spending in pubs in the two weeks preceding the cut and the two weeks following the cut.

After taking into account the effect of usual seasonal fluctuations in pub spending as the weather improves, Barclaycard found the duty cut had delivered a 4% boost to pubs in the UK.

Growth in some regions was significantly above the average, with Wales at +11.8%, the north east at +6.9% and the East Midlands at +5.4%.

However, spending fell in some regions, including London (-2.1%), Scotland (-3.5%), Northern Ireland (-9.1%) and the south west (-0.1%). These declines can partly be attributed to poor weather in some regions over the period.

A Barclaycard spokesperson said: “This modest increase in pub spending will be a welcome sign for an industry that has faced many challenges over recent years.”

Beer duty was cut by 1p at the Budget in March and the beer duty escalator was abandoned.