'Not Welcome!': The Government's Dispute with Local Inns Signals a Upcoming Year Problem.
Government ministers visiting their constituencies this weekend might experience a wave of relief as a turbulent political term concludes. But, for those planning to stop by their community tavern for a restorative pint, holiday spirit could be lacking. Indeed, some may find they are unwelcome inside.
In recent weeks, establishments nationwide have been posting signs that declare "No Labour MPs" in demonstration to revisions in commercial property taxes unveiled by the Finance Minister, Rachel Reeves, in her latest budget.
This protest translates to one fewer escape for many Labour MPs seeking solace from the bruising reality of their party's unpopularity. Representatives now say commonplace hostility in everyday places after a difficult first 18 months that has seen the government's support plummet from around 34% to roughly 18%.
"It is difficult being the representative of the constituency you have forever lived in," remarked one. "That pub is where we would go with the kids and just be a ordinary family. But the recent visits we've just ended up being confronted by other customers. Now I'm not even sure we'll be able to get in."
This sense of dismay is clear in a social media post by Tom Hayes, the Labour MP for Bournemouth East, addressing being barred from one of his local pubs, the Larderhouse.
"We're in the festive period," he said. "However the Larderhouse and other establishments with a 'No Labour MPs' sticker in the window, they are eroding the community spirit that local entrepreneurs have helped to cultivate." He added, "Politics must be kept politics off the high street altogether, but above all at Christmas."
A Cherished Institution in the Public Consciousness
After a challenging period marked by high costs, the COVID-19 crisis, and changing habits, licensees were hopeful the chancellor's statement might bring some assistance—namely through a long-promised revamp of the commercial tax system.
However the chancellor disappointed those hopes, keeping the system largely unchanged and choosing instead to reduce the multiplier 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 support package has been overshadowed by the effect of a three-yearly property reassessment, which has caused the rateable value of hospitality venues to surge from their pandemic-era lows.
From next April, business taxes are set to increase by more than double for the average hotel and 76% for a pub, versus just four percent for big grocery chains and 7% for distribution warehouses. A major hospitality group, which owns pubs, restaurants and the Premier Inn hotel chain, estimates 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: "Literally overnight, the value of our business has increased twofold. That's going to be a massive rise for us."
This pressure on business owners is certainly passed on to the price of a punter's pint.
"The price of a pint is now unaffordable. When we first became landlords 10 years ago, we charged £3.40 a pint. We're now verging on £7 a pint," Butler added.
At the same time, pandemic-related tax breaks are ending, while hospitality operators are still managing rises in employer contributions and the minimum wage from last year's budget.
"If you wanted to write the worst possible budget for pubs and consumers, you wouldn't have got far away from what came out," said Ash Corbett-Collins, the chair of Camra, the consumer organisation.
Several within the governing party think this is a battle they should not have picked, not least because of the vital place the community pub holds in society.
Richard Quigley, the MP for the Isle of Wight West, who also operates a chip shop on the island, argued: "We promised for two years to pubs and hospitality businesses that we are going to provide support but then they get hit by this new assessment. We cannot allow rates being reduced for large multinational companies but increasing for local venues."
Commentators highlight that Keir Starmer himself has long been a frequent patron at his local pub, the Pineapple in north London, and often references their importance to local communities. "We all enjoy nothing more than going to the pub for a pint, myself included," the prime minister stated in February.
Yet political analysts compare picking a fight with publicans to challenging NHS workers in terms of popular sentiment.
Joe Twyman, co-founder of the public opinion consultancy Deltapoll, said: "From soap operas to real life, pubs have a cherished status in the British psyche.
"In the public's view the neighborhood inn is perceived to be an integral component of the community, even if a significant number of those same people will infrequently drink there.
"The hazard with making an enemy of pubs is that your critics will easily be able to accuse you of assaulting the very heart of this nation and its traditions, especially in rural areas. And they will be able to produce many heartfelt examples to prove their point."
'A Matter of Principle'
One such instance is Andy Lennox, the landlord at the Old Thatch pub in Wimborne, Dorset, and the organiser of the "MPs Barred" initiative. Lennox reports he has handed out stickers to nearly 1,000 establishments and is sending out 100 more every day.
His protest has gained the endorsement of a number of well-known figures, such as television presenter Jeremy Clarkson, who runs a pub called the Farmer's Dog, and pop star Rick Astley, who has a stake in a bar in north London—though the latter has said he will not refuse service to Labour MPs.
"We have pleaded for help for a very long time," explained Lennox, who is calling for a short-term VAT reduction. "The government 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."
Several within the industry think a campaign banning individual politicians is may backfire. "I doubt it's a effective strategy to ban the precise representatives we should be trying to persuade and lobby," commented Corbett-Collins.
When asked this week, the Exchequer highlighted the support being made available to the sector. "We're protecting the hospitality industry with the budget's £4.3bn support package. This follows our work to ease licensing, keeping our reduction to alcohol duty on beer from the tap, and limiting corporation tax," a official commented.
The business owners, however, are in no mood to compromise, even if losing MPs