'You're Barred!': The Government's Dispute with Local Inns Forecasts a New Year Headache.
Labour MPs returning to their local areas this weekend might breathe a sigh of relief as a chaotic parliamentary session concludes. Yet, for those planning to frequent their community tavern for a restorative drink, holiday spirit could be lacking. Actually, some may find they are not allowed through the door.
For weeks, venues nationwide have been putting up signs that state "No Labour MPs" in demonstration to adjustments in commercial property taxes revealed by the Finance Minister, Rachel Reeves, in her latest budget.
This protest results in one fewer haven for many government backbenchers seeking refuge from the difficult situation of their slumping poll ratings. Backbenchers now say frequent animosity in everyday places after a rocky first period that has seen the government's support plummet from around 34% to roughly under a fifth.
"It can be hard being the representative of the area you have always lived in," commented one. "That pub 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 verbally abused by other patrons. Now I'm not even sure we'll be able to get in."
This sense of dismay is visible in a recent video by Tom Hayes, the Member of Parliament for Bournemouth East, addressing being barred from one of his local pubs, the Larderhouse.
"It's the Christmas season," he said. "But the Larderhouse and other establishments with a 'MPs Not Welcome' sticker in the window, they are undermining the community spirit that local entrepreneurs have helped to foster." He went on, "We have to get politics off the main street full stop, but above all at Christmas."
'Pubs Have a Special Place in the Public Consciousness
After a challenging period marked by economic pressures, the COVID-19 crisis, and changing habits, licensees were anticipating the budget might bring some support—namely through a long-promised revamp of the business rates system.
Yet the chancellor dashed those hopes, leaving the system unreformed and choosing instead to lower headline rates and pledge £4.3bn over three years in funding for the retail and hospitality sectors.
While perhaps a positive step, the impact of that support package has been dwarfed by the effect of a periodic property revaluation, which has caused the rateable value of hospitality venues to increase sharply from their pandemic-era lows.
Starting from next April, rates are set to increase by 115% for the average hotel and 76% for a pub, in contrast to just four percent for big grocery chains and seven percent 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 consequence.
Joe Butler, the publican at the Tollemache Arms in Northamptonshire, said: "Virtually instantly, the worth of our business has increased twofold. That's going to be a significant burden for us."
This burden on business owners is certainly felt 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 stated.
Furthermore, pandemic-related tax breaks are ending, while sector businesses are still absorbing rises in employer contributions and the minimum wage from last year's budget.
"If you wanted to write the most damaging budget for the hospitality sector and its customers, you wouldn't have got far away from what we saw," stated Ash Corbett-Collins, the chairperson of Camra, the campaign for real ale.
Many within the Labour party believe this is a battle they could have sidestepped, not least because of the important role the local pub plays in British culture.
Richard Quigley, the MP for the Isle of Wight West, who also runs a fish and chip shop on the island, commented: "We pledged for two years to pubs and hospitality businesses that we are going to provide support but then they get slapped with this revaluation. We must not see taxes going down for big corporations but increasing for small restaurants and pubs."
Some point out that Keir Starmer himself has long been a regular at his local, the Pineapple in north London, and regularly mentions their significance to local communities. "There is little we prefer than going to the local for a drink, myself included," the prime minister said in February.
But strategists compare confronting publicans to taking on NHS workers in terms of public perception.
Joe Twyman, director of the polling firm Deltapoll, noted: "From the Queen Vic to the Rovers Return, pubs have a cherished status in the national consciousness.
"To a lot of individuals the neighborhood inn is regarded as an integral component of the locality, even if a significant number of those same people will infrequently drink there.
"The hazard with antagonising pubs is that your critics will readily accuse you of attacking the very heart of this country and its traditions, especially in rural areas. And they will be able to produce many heartfelt examples to make their case."
'A Matter of Principle'
One such example is Andy Lennox, the publican at the Old Thatch pub in Wimborne, Dorset, and the organiser of the "MPs Barred" campaign. Lennox reports he has distributed notices to nearly 1,000 establishments and is sending out 100 more every day.
His protest has been backed by several prominent figures, such as television presenter Jeremy Clarkson, who owns a pub called the Farmer's Dog, and pop star Rick Astley, who has a stake in a bar in north London—although the latter has said he will not refuse service to Labour MPs.
"We have pleaded for help for a years," said Lennox, who is advocating for a temporary VAT reduction. "The Treasury is dressing this up as a support measure but that's not what people are seeing, and that is the thing that has angered so many people."
A number within the sector believe a protest singling out individual Labour MPs is likely to be counterproductive. "I doubt it's a effective strategy to ban the precise representatives we should be trying to persuade and lobby," commented Corbett-Collins.
When questioned this week, the government department highlighted the package being provided to hospitality. "We have aided pubs, restaurants and cafes with the budget's £4.3bn funding. This is in addition to our efforts to simplify licensing, maintaining our reduction to alcohol duty on beer from the tap, and capping corporation tax," a representative stated.
The publicans, nevertheless, are in little mood to yield, even if losing MPs