In a boost to local pubs, Burnley and Padiham’s MP Antony Higginbotham has welcomed the announcement that Draught Relief has been extended to 9.2%, higher than the 5% duty discount that was due to come in from August
During his budget speech Chancellor Jeremy Hunt unveiled measures to reduce the tax paid on draught beers and ciders, in a move that the pub industry has cheered.
The changes mean that duty on an average draught pint of beer served in a pub will not increase from August and will be up to 11p lower than the duty in supermarkets.
Commenting Antony Higginbotham MP said:
From the bars at Lowerhouse Cricket Club and Padiham Football Club, to our town centre clubs, and then through to the village pubs in Worsthorne or Hapton. These are at the centre of our night time economy, and our community. And that’s why I’ll always do everything in my power to support and promote them.
One issue many landlords will tell you of is people purchasing cheap alcohol at a supermarket and then staying home which hinders trade. And so it’s a welcome step that the Chancellor has introduced a new Brexit Pub Guarantee which will mean that draught duty will always be less than the duty in supermarkets.
This would never have been possible whilst we were a member of the EU. So if you ever hear anyone demanding a Brexit benefit, well this is one right here.
Tim Martin, the chairman of pub giant JD Wetherspoon has also welcomed the freezing of duty on beer. He said:
Any reduction in the tax disparity between pubs and supermarkets is welcome. We have been campaigning for tax equality for a long time. This gesture by the government is a tacit acknowledgement that something needs to be done.
The commitment to duty on a pub pint being lower than the supermarket has been termed the “Brexit Pubs Guarantee”.
