'Chancellor has closed 2,000 pubs'

By Ewan Turney

- Last updated on GMT

Related tags Alcoholic beverage Bbpa

Axe the Tax: 20,000 jobs have been lost
Axe the Tax: 20,000 jobs have been lost
A record 2,000 pubs have closed with the loss of 20,000 jobs since the 2008 Budget — BBPA warns the tax rises must stop.

A record 2,000 pubs have closed with the loss of 20,000 jobs lost since the 2008 Budget.

Chancellor Alistair Darling hit the pub trade with a combined 18% duty increase over last year and has promised a further 2% above inflation rise in April's Budget.

The two rises in tax last year cost the industry an additional £520m.

The new shocking figure from the British Beer and Pub Association (BBPA) come on the day that five Government ministers are set to meet MPs to discuss the pub crisis.

The BBPA believes that 75,000 further jobs are at risk if the duty escalator is not dropped. A recent survey also showed that 70% of the population were against further increases.

"These new figures reveal the true scale of the struggle facing the beer and pub industry," said BBPA chief executive Rob hayward.

"There was understandable political concern about the recent 850 job losses at Mini. The pub sector is losing nearly twice as many jobs every month. Furthermore, when a pub closes a family loses not only its livelihood, but its home.

"The beer and pub industry is not looking for a handout, just hands off any further tax or regulation increases. We are urging the Government to abandon the 2% over inflation drinks' tax escalator.

"We are also asking them to abandon the mandatory code in the Police and Crime Bill, which Government say will cost the industry an extra £300m this year alone and lead to further job losses and pub closures."

Campaign for Real Ale chief executive Mike Benner added: "The entire economic picture has changed beyond recognition in the last 12 months and with the return of Keynesian economics, I hope the Chancellor might draw some inspiration from one the great economist's most famous lines — 'When the facts change, I change my mind'. Scrapping the increases in beer tax would be a truly popular piece of Keynesianism."

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