The British Beer & Pub Association (BBPA) has today welcomed the publication of the House of Lords’ Economic Affairs Committee report, titled ‘Measuring Inflation’. The BBPA contributed to an inquiry which informed the report, proposing that the Government should switch to CPI in all areas where RPI is currently used to apply inflationary increases. The report has included this proposal from the BBPA as one of its key recommendations to the Government. The Government currently has year on year RPI linked increases planned for beer duty, which means that it will likely increase by at least 3% every year for the foreseeable future. Beer duty has increased by more than 60% over the last 17 years and now the UK has one of the highest rates of duty in Europe, which is a key factor behind the closure of many of the UK’s pubs. The Government has already agreed to switch increases applied to Business Rates from RPI to CPI and has brought forward plans for the switch, which pubs have welcomed. Brigid Simmonds, Chief Executive of the British Beer & Pub Association, comments: “The number of pubs in the UK is falling, with pubs facing increasing and considerable tax pressures from a range of sources; particularly high beer duty, unfair business rates and VAT. This is deeply concerning because pubs are a great British institution and are often the social hub of their community. “Beer duty is particularly burdensome for pubs and the Government has year on year RPI linked increases planned for it, which will see beer duty increase by at least 3% every year for the foreseeable future. “Increasing beer duty has a real effect on footfall in pubs, so we welcome the recommendation of the House of Lords’ Economic Affair Committee report for the Government to switch from RPI to CPI. This will not stop us calling for beer duty to fall further given that we pay 40% of the total beer tax across Europe, but only consume 12% of the product, but it is a step in the right direction.”
The British Beer & Pub Association (BBPA) has today welcomed the Prime Minister’s decision to scrap the settled status fee. The fee had meant that EU citizens would be charged £65 to claim settled status after the UK leaves the European Union, with an additional charge of £32.50 for any dependents. Analysis by the BBPA suggests that 71,000 EU nationals working in pubs will benefit from the settled status fee being scrapped, saving £4.6 million in total for those employed by the pub sector. The decision will also reduce unnecessary paperwork for publicans across the UK, the majority of which operate as small businesses. Some pub businesses had offered to pay the settled status fee for their EU staff, prior to the Prime Ministers decision to scrap it. Brigid Simmonds, Chief Executive of the British Beer & Pub Association, comments: “The Prime Minister’s decision to scrap the settled status fee for EU nationals is a big boost for Britain’s pubs and their workforce. As many as 71,000 EU nationals will benefit from the decision, saving around £4.6 million in total. “The vast majority of pubs operate as small businesses, so the scrapping of the settled status fee will be of huge relief to those publicans who faced unnecessary admin and knock on costs from it. “Brewers and pubs employ as much as 24% of their workforce from overseas, rising to 40% in metropolitan areas and in some roles, such as kitchen staff, up to 80%. Already, companies have seen the number of EU workers in our sector decline. As a result, many companies were prepared to pay the cost of settled status for their colleagues who had committed to staying. This is a good decision and supports vital employees in pubs and across the hospitality sector. “This decision shows that the Government has been listening to the concerns of the beer and pub sector as well as the wider business community.”
A major grants fund for scientific research and education in the brewing industry has begun inviting applications for funding in 2019/20. Under the Brewers’ Research & Education Fund (BREF), applicants have just under three months to submit their bids, with a deadline for funding applications of 31st March 2019. Full details of the applications process can be obtained via the British Beer & Pub Association website. The BREF supports vital research into projects of potential benefit to the brewing industry, such as improving brewery environmental footprint, dispense hygiene surveys and developing new hop varieties, as well as a range of educational activities. The fund was created through proceeds from the sale of the BBPA’s original headquarters in Portman Square, central London. The Worshipful Company of Brewers acts as Trustee and administers the fund, with the BBPA promoting the fund and providing the secretariat. Brigid Simmonds, Chief Executive of the British Beer & Pub Association, comments: “The Brewers’ Research & Education Fund has supported many important projects over the years and is an important legacy from the Brewers’ Society and the Institute of Brewing. I’m delighted the fund is open for another year and look forward to receiving applications.” Michael O'Dwyer, The Clerk to the Brewers' Company, comments: “The Brewers’ Research & Education Fund is a great example of the Brewers' Company’s focus on investing in the future of the brewing industry. As the Trustee of the fund, the Brewers’ Company looks forward to awarding grants to another selection of valuable industry research projects and the opportunity to further education in beer and brewing.”
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