'You're Barred!': The Government's Battle with Pubs Forecasts a Upcoming Year Headache.
Government ministers heading back to their home districts this end of the week might breathe a sigh of respite as a chaotic parliamentary session wraps up. However, for those looking to frequent their neighborhood bar for a relaxing pint, festive cheer could be in short supply. In fact, some may realize they are not allowed through the door.
In recent weeks, establishments throughout the nation have been displaying signs that proclaim "MPs Barred" in objection to revisions in commercial property taxes unveiled by the Chancellor, Rachel Reeves, in her autumn financial statement.
This protest means one fewer retreat for many government backbenchers seeking refuge from the harsh truth of their slumping poll ratings. MPs now say commonplace animosity in everyday places after a challenging first period that has seen the government's support plummet from around a third to roughly under a fifth.
"It can be hard being the representative of the constituency you have always lived in," said one. "Our neighborhood bar is where we went with the kids and just be a normal family. But the past occasions we've just ended up being verbally abused by other customers. Now I'm not even sure we'll be able to enter."
This sense of dismay is clear in a social media post by Tom Hayes, the Member of Parliament for Bournemouth East, addressing being banned from one of his regular haunts, the Larderhouse.
"It's the Christmas season," he stated. "But the Larderhouse and other businesses with a 'MPs Not Welcome' sticker in the window, they are undermining the community spirit that business owners have helped to foster." He added, "We need to remove politics off the high street altogether, but above all at Christmas."
'Pubs Have a Special Place in the National Identity
After a difficult few years marked by economic pressures, the pandemic, and changing habits, landlords were optimistic the budget might bring some relief—particularly through a long-promised revamp of the commercial tax system.
But the chancellor dashed those hopes, leaving the system largely unchanged and choosing instead to lower headline rates and pledge £4.3bn over three years in aid for the shops, pubs, and restaurants sectors.
While perhaps a positive step, the impact of that support package has been minimized by the effect of a three-yearly property revaluation, which has caused the rateable value of hospitality venues to spike from their pandemic-era lows.
Starting from next April, business taxes are set to jump by more than double for the typical hotel and over three-quarters for a pub, versus just 4% for large supermarkets and 7% for logistics centres. Whitbread, which owns pubs, restaurants and the Premier Inn hotel chain, states it will face an additional tax bill of between £40m and £50m as a outcome.
Joe Butler, the landlord at the Tollemache Arms in Northamptonshire, commented: "Virtually instantly, the valuation of our business has increased twofold. That's going to be a massive rise for us."
This financial strain on publicans is directly passed on to the price of a punter's pint.
"A pint of beer is now prohibitively expensive. When we first became landlords 10 years ago, we charged £3.40 a pint. We're now nearly £7 a pint," Butler said.
Simultaneously, Covid-era tax breaks are ending, while hospitality operators are still managing increases in national insurance and the minimum wage from last year's budget.
"To create the most damaging financial plan for pubs and consumers, you couldn't have done much worse than what was announced," remarked Ash Corbett-Collins, the chairperson of Camra, the consumer organisation.
Several within the governing party feel this is a battle they ought to have avoided, not least because of the vital role the neighborhood inn plays in British culture.
Richard Quigley, the Labour MP for the Isle of Wight West, who also runs a chip shop on the island, argued: "We said for two years to pubs and hospitality businesses that we are going to offer relief but then they get slapped with this new assessment. We can't have rates being reduced for large multinational companies but up for local venues."
Observers point out that Keir Starmer himself has historically been a regular at his local pub, the Pineapple in north London, and often references their significance to neighborhoods. "There's nothing any of us like better than going to the local for a pint, myself included," the prime minister said in February.
However pollsters compare antagonising pub owners to taking on NHS workers in terms of political risk.
Joe Twyman, director of the public opinion consultancy Deltapoll, said: "From the Queen Vic to the Rovers Return, pubs have a unique position in the public imagination.
"For many people the local pub is seen as an important part of the locality, even if a large segment of those same people will rarely actually drink there.
"The political risk with making an enemy of pubs is that your opponents will quickly accuse you of attacking the core of this country and its traditions, particularly in rural areas. And they will be able to produce many emotive examples to make their case."
'Nothing Personal'
One such example is Andy Lennox, the publican at the Old Thatch pub in Wimborne, Dorset, and the organiser of the "No Labour MPs" campaign. Lennox says he has distributed notices to nearly 1,000 establishments and is sending out 100 more every day.
His protest has been backed by a number of well-known figures, including broadcaster Jeremy Clarkson, who runs a pub called the Farmer's Dog, and singer Rick Astley, who has a stake in a bar in north London—however the latter has indicated he will not actually ban Labour MPs.
"We have been asking for relief for a very long time," stated Lennox, who is advocating for a temporary VAT reduction. "The government is dressing this up as a support measure but that's not what people are seeing, and that is the thing that has frustrated so many people."
Several within the industry believe a protest targeting individual Labour MPs is may have unintended consequences. "I doubt it's a wise move to ban the very individuals we should be trying to persuade and influence," said Corbett-Collins.
When asked this week, the Exchequer pointed to the support being provided to the sector. "We are supporting the hospitality industry with the budget's £4.3bn investment. This comes on top of our efforts to ease licensing, keeping our cut to alcohol duty on beer from the tap, and limiting corporation tax," a official said.
The business owners, nevertheless, are in little mood to yield, even if turning away MPs