Spring Budget: chancellor 'could have gone further'

Jeremy Hunt announced in his Spring Budget on Wednesday that a freeze in duty would come into effect with draught alcohol served in pubs in west Dorset and across the country up to 11p lower than in supermarkets.

Rich Gabe, press officer and social secretary for West Dorset CAMRA, said the “move was a start” but that it risked ‘alienating’ those who weren’t draught drinkers.

He said: “The problem these days with pubs is that people have changed their habits and it’s been a slow process over the years that has been affecting consumer habits in pubs. It’s not a good time to be in the pub industry, really, because people’s disposable income is taking a hit and unfortunately something like going out is what people are cutting back on.

“(The freeze) is a start but (the Chancellor) could have extended it across drinks because basically you’re now alienating a spirit drinker as opposed to an ale drinker.

“We forget how important pubs are to communities, especially in rural places, and sadly we tend to hear the negatives more than positives. Things like the Dorchester Beer Festival, where 23,000 people attended, show the interest is still there and that really was a phenomenal success.”

Announcing the measure, Mr Hunt told parliament that “British ale may be warm but the duty on a pint is frozen”. He said the move would not have been possible before the UK left the European Union and labelled the duty free as ‘the Brexit pubs guarantee’.

Ian Girling, chief executive of the Dorset Chamber of Commerce, said: “There was little in the announcement that will provide comfort to firms most hard-pressed by large energy bills or the continued burden of business rates.  

“But more generally, continued support for energy costs for householders, the freeze on

fuel duty and measures to put more money in the pockets of consumers along with falling inflation will help.

“Overall, it is important to remain upbeat and this Budget does offer some light at the end of the tunnel.

“I would encourage the people of Dorset to continue to support the county’s businesses to help them and the local economy grow.”

Emma McClarkin, chief executive of the British Beer and Pub Association (BBPA) said the measure simply wouldn’t be enough to ‘rebalance the catastrophic impact’ of ‘soaring inflation’.

She said: “The fact is our industry will be facing an overall tax hike, not a reduction, come August. Duty on non-draught beer will rise and the measures introduced today won’t rebalance the catastrophic impact soaring inflation and unfair energy contracts are having on both pubs and the breweries that supply them.”