'You're Barred!': Labour's Dispute with Public Houses Promises a Fresh Year Headache.
Elected representatives heading back to their home districts this end of the week might feel a sense of relief as a turbulent parliamentary session concludes. Yet, for those planning to frequent their local pub for a casual pint, festive cheer could be in short supply. Actually, some may find they are unwelcome inside.
For weeks, establishments throughout the nation have been putting up signs that proclaim "Labour MPs Not Welcome" in objection to revisions in business rates unveiled by the Finance Minister, Rachel Reeves, in her autumn budget.
This protest results in one fewer haven for many elected officials seeking solace from the difficult situation of their party's unpopularity. Backbenchers now say regular animosity in community settings after a rocky first 18 months that has seen the approval numbers plummet from around 34% to roughly under a fifth.
"It is difficult being the representative of the area you have always lived in," said one. "Our neighborhood bar is where we would go with the kids and just be a ordinary family. But the last few times we've just ended up being confronted by other drinkers. Now I'm not even sure we'll be able to get in."
This feeling of frustration is clear in a recent video by Tom Hayes, the Member of Parliament for Bournemouth East, lamenting being refused entry to one of his regular haunts, the Larderhouse.
"We're in the festive period," he stated. "However the Larderhouse and other businesses with a 'MPs Not Welcome' sticker in the window, they are damaging the community spirit that local entrepreneurs have helped to nourish." He added, "Politics must be kept politics off the town centre completely, but particularly at Christmas."
A Cherished Institution in the National Identity
After a challenging period marked by rising expenses, the COVID-19 crisis, and changing habits, licensees were anticipating the chancellor's statement might bring some assistance—specifically through a long-promised revamp of the commercial tax system.
However the chancellor disappointed those expectations, keeping the system largely unchanged and choosing instead to reduce headline rates and pledge £4.3bn over three years in aid for the retail and hospitality sectors.
While perhaps a gesture of goodwill, the benefit of that funding pledge has been dwarfed by the effect of a three-yearly property reassessment, which has caused the taxable value of hospitality venues to spike from their Covid-affected lows.
From next April, business taxes are set to increase by more than double for the typical hotel and 76% for a public house, compared with just 4% for big grocery chains and 7% for distribution warehouses. A major hospitality group, which operates pubs, restaurants and the Premier Inn hotel chain, says it will face an extra tax bill of between £40m and £50m as a result.
Joe Butler, the landlord at the Tollemache Arms in Northamptonshire, said: "Literally overnight, the valuation of our business has doubled. That's going to be a huge increase for us."
This pressure on business owners is inevitably reflected in the price of a punter's pint.
"The price of a pint is now unaffordable. When we first started here 10 years ago, we charged £3.40 a pint. We're now approaching £7 a pint," Butler said.
Simultaneously, pandemic-related tax reliefs are falling away, while sector businesses are still managing rises in employer contributions and the living wage from the previous budget.
"If you wanted to write the worst possible budget for pubs and consumers, you couldn't have done much worse than what was announced," said Ash Corbett-Collins, the chairperson of Camra, the campaign for real ale.
A number within the governing party feel this is a fight they ought to have avoided, not least because of the important role the community pub plays in society.
Richard Quigley, the Labour MP for the Isle of Wight West, who also runs a chip shop on the island, said: "We pledged for two years to the sector that we are going to offer relief but then they get affected by this new assessment. We cannot allow taxes being reduced for large multinational companies but increasing for local venues."
Commentators note that Keir Starmer himself has historically been a regular at his local, the Pineapple in north London, and frequently speaks of their importance to local communities. "There is little we prefer than going to the local for a pint, myself included," the PM stated in February.
Yet pollsters liken picking a fight with pub owners to challenging NHS workers in terms of public perception.
Joe Twyman, co-founder of the polling firm Deltapoll, noted: "From the Queen Vic to the Rovers Return, pubs have a unique position in the public imagination.
"To a lot of individuals the local pub is regarded as an key pillar of the community, even if a good proportion of those same people will rarely actually drink there.
"The political risk with alienating pubs is that your opponents will quickly accuse you of attacking the very heart of this nation and its history, notably in the countryside. And they will be able to produce many heartfelt examples to drive the message home."
'Not a Personal Vendetta'
One such case is Andy Lennox, the landlord at the Old Thatch pub in Wimborne, Dorset, and the coordinator of the "No Labour MPs" campaign. Lennox states he has handed out signs to nearly 1,000 venues and is sending out 100 more every day.
His protest has gained the endorsement of a number of prominent figures, such as broadcaster Jeremy Clarkson, who owns a pub called the Farmer's Dog, and pop star Rick Astley, who has a stake in a brewpub in north London—although the latter has clarified he will not actually ban Labour MPs.
"We have pleaded for help for a very long time," said Lennox, who is calling for a short-term VAT reduction. "The Treasury is dressing this up as a relief package but that's not what people are experiencing, and that is the thing that has aggrieved so many people."
A number within the sector believe a campaign singling out individual Labour MPs is may have unintended consequences. "It's questionable it's a wise move to ban the precise representatives we should be trying to persuade and influence," commented Corbett-Collins.
When questioned this week, the Exchequer highlighted the package being offered to the sector. "We're protecting the hospitality industry with the budget's £4.3bn support package. This follows our efforts to ease licensing, keeping our reduction to alcohol duty on beer from the tap, and capping corporation tax," a official stated.
The business owners, on the other hand, are in not the frame of mind to compromise, even if alienating MPs