Trade groups slam Budget duty rise

Pub trade associations and brewers have hit out at the rise in duty on alcohol announced in today's Budget.

And consumer group the Campaign for Real Ale (CAMRA) said pubs had been denied a "lifeline".

Gordon Brown revealed that beer will rise by 1p a pint from midnight on Sunday.

"This is a slap in the face for one of Britain's world beating businesses," said Mark Hastings, director of communications at the British Beer & Pub Association (BBPA).

"Gordon Brown has chosen to turn his back on a brewing sector facing intense pressure from rapid cost inflation and the forthcoming smoking ban."

Gordon Brown also announced that cider will rise by 1p a litre, wine will rise by 5p a bottle, sparkling wine will rise by 7p a bottle and duty on spirits will be frozen.

The BII also slammed the rises. Chief executive John McNamara said: "Licensees are currently concentrating on getting themselves ready for the forthcoming smoking ban and the last thing they need is any additional expense at this time.

CAMRA chief executive Mike Benner said: "This is a false economy for the government as we may now see an exodus from pubs after beer prices rise.

"At a time when 56 pubs a month are closing, the smoking ban is imminent and supermarkets are selling beer at ridiculously low prices, British pubs needed a lifeline from their government and that has been denied them."

Michael Turner, chief executive of Fuller Smith & Turner, described the Budget as a "missed opportunity". He added: "Brewing is one of the oldest industries in this country and we need government support to stay competitive, ensure our continued longevity, and protect jobs in British breweries."