News and views – July 2019

BEER DUTY DEBATE

Last November, CAMRA identified three issues about which it needed to lobby Parliament. These were the Pubs Code, business rates and the case for some kind of differential in beer duty rates in favour of the on-trade. I’m pleased to say that on 25 June the House of Commons held a debate on the motion ‘That this House has considered differential rates of beer duty’. It was moved by Giles Watling, the MP for Clacton. The appropriate minister, the Financial Secretary to the Treasury, was present and although nothing binding could come from this debate, it sounded as if the message was received. One particular point made concerned differential rates to promote lower strength beers up to 3.5% ABV. CAMRA will be following up the debate by writing to the MPs who participated.

STAR PUBS & BARS DISPOSALS

Star, the Heineken owned pub operation, is to sell 150 pubs that it acquired from Punch. The pubs have not been named but are understood to be located countrywide. A spokesman for Star told the Morning Advertiser, “We are in the process of marketing a small number of pubs for sale. We have consistently said that we regularly review our estate and with the growth of any pub estate there is also ongoing optimisation which includes some disposals.”

CAMRA national director Ben Wilkinson commented, “Having decided to dispose of these pubs, we welcome Heineken’s responsible decision to market them as going concerns and seek a different pub operator to take them on. Most important though will be the intention of the purchaser, and local communities deserve rapid assurances from any new operator that they are committed to the future of these pubs rather than asset stripping. Academic research shows local pubs help people live happier lives, have more close friends, and stay more connected with their communities. It’s essential that these pubs, many of which are at the heart of their local area, are given a fair chance to thrive under new ownership.”

GREAT BRITISH HIGH STREET AWARDS

The Government’s High Streets Forum are reintroducing these awards for 2019. They are intended to draw attention to the best high streets in Britain and the vital part that they play in the economic viability and general well-being of towns and cities across the UK. Let’s hope that the part that pubs play in this is fully recognised.

LATE NIGHT LEVY

In their submissions to both Southwark and Redbridge councils concerning their proposals to introduce Late Night Levies, the British Beer & Pub Association (BBPA) contended that LNLs are in effect ‘a direct and punitive tax on local businesses like pubs that are already disproportionately burdened with a range of taxes, business rates and other overheads’. Southwark Council say it costs around £280,000 per year to operate a ‘night economy team’ of police and council officers to deal with crime, antisocial behaviour, litter and people in need of support and that an LNL is the fairest way to pay for this but the BBPA added that pubs already pay £58.6m in tax in Southwark and £16.5m in tax in Redbridge. They also quoted the House of Lords committee report on the Licensing Act 2003 which said that LNLs ‘failed to achieve their objectives and should be abolished’ and that problems are not caused by the majority of premises. The BBPA prefer such initiatives as Business Improvement Districts, Pubwatch, Best Bar None and Street Pastors. In fairness, an independent review of local government finance published by PriceWaterhouseCoopers says that core funding for London boroughs has fallen by 63% since 2010, so that you can understand them looking for other sources of revenue.

Stop Press: Southwark voted to introduce an LNL, starting from 1 September.

AGENT OF CHANGE

I’m pleased to report that this principle under which, in planning decisions, the party that brings about a change is responsible for managing the consequences, is starting to take hold following it being included in the National Planning Policy Framework. The Star Inn in Guildford, a live music venue owned by Shepherd Neame, was, as reported in the Morning Advertiser, served with a noise abatement notice following complaints from neighbouring flats, for which the Council had granted planning permission despite being warned that their proximity to a live music venue made them unsuitable for residential use. Unhelpfully, or perhaps obtusely, a spokesperson from Guildford Borough Council explained, “The notice requires the nuisance to stop by reducing noise levels. This does not mean silence and that no noise can be made.” Sheps reckoned that live music accounted for some 30% to 40% of the pub’s income so they appealed, backed by some 25,000 people who had signed an online petition in the pub’s favour. Sheps’ appeal has been upheld and as George Barnes, their property and services director, said, “This is excellent news. Common sense has prevailed.”

COMINGS AND GOINGS

Brigid Simmonds has announced that she will be standing down as the chief executive of the British Beer & Pub Association (BBPA) in October. She has been in post for ten years and has been awarded an OBE. She is to become chairman of the Betting & Gaming Council, which is the trade association for bookmakers in much the same way as the BBPA is for pub owning businesses. The chair of the BBPA, Fuller’s chief executive Simon Emeny told the Morning Advertiser, “Brigid has led the organisation with confidence, sharp intellect and humour when needed and has successfully raised the profile of the BBPA and its members with Government, media and other legislative organisations.”

James Calder has replaced Mike Benner as chief executive of the Society of Independent Brewers (SIBA). It is an internal promotion, Mr Calder having been SIBA’s head of public affairs and communications. SIBA chairman Ian Fozzard told the Morning Advertiser, “Calder is an exciting choice as successor to Benner as we embark on this new phase in the organisation. He will bring youth, energy and new ideas. Calder has successfully led SIBA’s campaigning work on issues like Small Breweries’ Relief, deposit return schemes for drinks containers and our engagement with industry stakeholders. He has raised the political profile of SIBA immeasurably and will bring a new perspective.”

TEN YEARS ON

Once again, I am indebted to the Morning Advertiser for some very interesting information. We all know that the pub trade suffers from ‘headwinds’, which appears to be the current ‘buzz word’ for increased running costs. That said, according to the Office of National Statistics, the average price of a pint (in this case lager) in May 2009 was £2.81 and this March it was £3.67, an increase of 86p or 30%. A year ago, the research company YouGov found that in a survey of 40,000 people, the cost of a pint of beer ought to be £3.00, 60p less than the current average price.

Of course, any generalisation of prices can be misleading because the price of a pint varies significantly across the country. The cost of a pint of cask beer ranges from £2.35 in Cumbria to £2.94 in Wales and £3.82 in London and I suspect that that may be influenced by Wetherspoon’s. CAMRA’s view was, “The latest statistics released by the ONS reflect a worrying trend for pubgoers across the country. As the price of a pint continues to climb, consuming alcohol at home has become a cheap alternative. When this happens, everyone suffers: the trade, the individual and the community as a whole. Pubs are the natural home for the beer consumer and the ideal place for responsible drinking; they help being local communities together, tackle loneliness and provide a vital support network for people in need. It is imperative they continue to stay open and thriving, and people can continue to drink responsibly in them. That is why we are calling on the Government to tackle the huge tax burden pubs face to help keep prices down and, ultimately, ensure the future survival of British pubs.”

ROUND AND ROUND

In a similar vein, I spotted this in the Evening Standard of 17 July. Apparently a point-of-sale systems supplier, StoreKit, for reasons not given, commissioned some research into the cheapest pints for Tube commuters. Again, this was not defined. The cheapest pint they found was in the New Fairlop Oak, a Wetherspoon’s near Fairlop Station. The price was £1.89, although I’m sure that other ‘Spoons serve pints at the same price. Also mentioned was the Coach & Horses near Hounslow East at £2.00. The most expensive recorded was the Union Tavern near Westbourne Park which has nothing on sale for less than £5.55 a pint. Then again, price isn’t everything…

AND FINALLY . . .

I am indebted to Sarah Aitchison for this gem. Sarah was drinking Goddard’s Duck’s Folly and thought that the story behind its name might appeal to readers. Anthony Goddard, who founded what is now the Isle of Wight’s oldest brewery with his wife, Alix, had previously been a Lloyd’s insurance underwriter but was financially ‘stuffed’ (his word) in the late 1980s. The beer’s name is an appropriate anagram but I will leave you to work it out. . .
Compiled by Tony Hedger