Trade's Budget plea over pubs and jobs

By Gurjit Degun

- Last updated on GMT

Related tags Taxation in the united kingdom

Trade's Budget plea over pubs and jobs
Industry leaders have made their last-ditch attempts to persuade the Chancellor to help save the future of the pub trade and jobs ahead of the Budget on 21 March.

Calls have been made for help on a number of issues, including: scrapping the beer-duty escalator; business rates; training; planning regulations; red tape; and AWP machines tax.

The Association of Lic-ensed Multiple Retailers (ALMR) has backed tax re-forms to provide greater stability so that the sector can boost its role as a major job creator and attractive career path for young people.

A new ALMR employment tracker, based on figures from the Office of National Statistics (ONS), shows the sector was responsible for generating one in six of all new jobs among 18-24 year-olds last year. It also found that on average, the trade invests £1,000 per employee per annum in continual development and training.

ALMR strategic affairs director Kate Nicholls said: “Pub and bar operators need the flexibility to invest in young people. They won’t have that if there is an overly complex or burdensome tax and employment regime.

“PAYE, employer national insurance contributions and the overall business tax environment all need to be looked at, as well as overall wage costs. We also need red tape surrounding apprenticeships, training and work experience to be removed.

“Ultimately, we want in-vestment from the Chancellor to help us grow. If we can deliver these numbers of new jobs without it, just think what we could do with support.”

The British Beer & Pub Association also used statistics on employment, claiming that freezing beer duty will keep 300,000 young people aged 16-24 in employment.

BBPA chief executive Brigid Simmonds said: “The trade supports just under one million jobs in beer and pubs in the UK. We could create more jobs but it’s very difficult for pubs to take on huge increases in duty.

“We don’t know what the rate of inflation will be calculated at this year, but we would like a tax freeze.”
Simmonds added that pubs providing services such as a shop or tourist information should not be penalised with higher business rates. She also raised concerns about the impact of planning regulations and higher tax rates on AWP gaming machines.

The Campaign for Real Ale head of policy and public affairs Jonathan Mail said: “We are greatly concerned about the duty escalator closing down pubs, leading to job losses. It is also creating a culture of drinking cheap alcohol at home.”

David Grant, MD at Lancashire-based Moorhouse’s Brewery, is meeting with deputy prime minister Nick Clegg today. “The Chancellor appears hell bent on spurning the industry’s appeal for help,” he said.

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