Both the Society of Independent Brewers (SIBA), and the British Beer & Pub Association (BBPA) have hailed the debate and vote in the House of Commons on Beer Duty as a success in presenting the case for review of the beer duty escalator. Now, the Government needs to take action and change the policy…
SIBA: review is vital
Commenting after the three-hour, well-attended debate, in which 20 MPs spoke in praise of beer and pubs, and a unanimous vote for a review of the beer duty escalator ahead of the 2013 Budget, SIBA chairman Keith Bott said:
“We were delighted with the support shown by so many MPs for this debate and by the eloquent arguments put forward by many of today’s speakers.
“We know that many MPs were grateful for the constituency-specific information that SIBA brewers, who are strongly rooted in their local community, were able to provide. Indeed, we lost count of the number of SIBA members who received a ‘name check’ in the House.
“The fact that so many MPs spoke today and then voted for a review shows the value many of them rightly place on the pub and the quality draught beer it sells as vital to the economic and social well-being of their community.”
Bott concluded:
“We hope the Treasury appreciates the strength of feeling that has been expressed here today by members on both sides of the House. A review of the beer duty escalator is vital ahead of the next Budget: Britain’s pubs simply cannot survive these continued hikes which are putting turning a pint into an unaffordable luxury for many drinkers.
“We would also remind the Government that, according to their own estimates, the Exchequer will receive just £35m in additional duty from the escalator in 2013/14. This amount would be largely offset by the boost in sales and employment related taxes that a beer duty freeze would create, according to Oxford Economics calculations that this would save 10,000 jobs by 2014/15, mainly in pubs.”
Urgent need for change of policy, says BBPA
Commenting on the debate and vote in Parliament calling for review of the Government’s controversial Beer Tax escalator, Brigid Simmonds, Chief Executive of the British Beer & Pub Association, said:
“In showing their support for a review of the duty escalator, which is urgently needed, MPs spoke up very strongly today to show the Government that this issue will just not go away.
“I am confident that any review, which we hope the Government will announce, will show that above-inflation increases in Beer Tax do not make sense – they would bring in no additional revenue for the Treasury, but at the same time threaten pubs, employment, and our great British brewing and pub industry. Instead, we could be generating growth, creating jobs, and investing in a real UK success story.”