It’s not every day that a Prime Minister pledges support for British pubs, so when Sir Keir Starmer recently backed a campaign to save our beloved locals, all support for pubs is welcome and this should have been cause for celebration, and I am sure it may be for some.
However, to me, it feels like yet another example of political doublespeak—a hollow gesture that rings painfully hollow given the current climate.
Let’s be clear: any high-profile support for the great British pub is welcome. Pubs are the lifeblood of our communities, serving as social hubs, cultural landmarks, and economic engines.
But when that support comes alongside policies that are actively driving pubs to the brink, it’s hard not to feel a sense of disbelief.
The Prime Minister’s words are, frankly, an oxymoron. How can you claim to support British pubs while simultaneously sanctioning a triple whammy of punitive tax hikes?
The increases in business rates, wages, and National Insurance contributions are set to hit the sector like a sledgehammer. Add inflation into the mix, and the outlook is nothing short of disastrous.
I attended a seminar this week with leading operators from the managed, tenanted, and leased sectors, and the message was unequivocal.
These tax increases will lead to reduced investment, job losses, and, inevitably, more pub closures. The sector is already on its knees, and this latest blow could be the final nail in the coffin for many.
So, Prime Minister, while I welcome the initiative, forgive me if I appear skeptical. It’s not enough to pay lip service to the cause while pushing policies that undermine it. The pub sector needs more than words—it needs action.
A Lifeline for Pubs: Cut VAT
If the government is serious about supporting pubs, there’s one clear solution: reduce VAT to 12.5% until the end of 2026. This isn’t a radical idea—it’s a proven strategy. During the pandemic, the temporary VAT cut provided a much-needed lifeline for the hospitality sector, helping businesses survive and even thrive.
A VAT reduction would not only ease the financial burden on pubs but also stimulate consumer spending, boost employment, and ultimately generate more revenue for the Treasury than the current tax hikes ever could. It’s a win-win solution that the whole country would support.
The Bigger Picture
The pub sector isn’t just facing a financial crisis—it’s facing an existential one. Pubs are more than just businesses; they’re part of our national identity. They’re where we gather to celebrate, commiserate, and connect. Losing them would be a cultural tragedy as much as an economic one.
Yet, time and again, governments have failed to grasp this. Instead of nurturing the sector, they’ve taxed it into oblivion, using pubs as a cash cow to plug holes in public finances. The result? A steady decline in the number of pubs, from over 60,000 in the 1970s to fewer than 40,000 today.
A Call for Real Action
Prime Minister, if you truly want to save British pubs, it’s time to move beyond empty rhetoric. Back your words with meaningful action. Reduce VAT, reform business rates, and provide targeted support to help pubs weather the storm.
The pub sector doesn’t need another campaign slogan—it needs a lifeline. And if you’re not willing to throw one, history will remember you as just another politician who talked a good game but failed to deliver.
The clock is ticking, Prime Minister. The great British pub is counting on you.