Greg Smith MP has backed a campaign to support independent brewers and community pubs in Buckingham in the Chancellor’s Spring Budget.
Greg hosted a Parliamentary event this week calling for the Chancellor to Make it 20% and increase the Draught Relief to 20% in his Budget on 6 March.
Introduced last year, the Draught Relief allows a lower rate of alcohol duty to apply to beer that’s sold in pubs rather than in supermarkets. Currently the Draught Relief is set at 9.2%, but a more substantial 20% rate could encourage more people to support their local community pubs by making sure tax on draught beer is 20% lower than the general rate of duty on the likes of supermarket alcohol.
This campaign comes as the sector continues to face intense pressure from energy prices and cost increases with hundreds of pubs being forced to close last year.
The event was organised by the Society of Independent Brewers (SIBA), the Campaign for Real Ale (CAMRA) and the Independent Family Brewers of Britain (IFBB) and enabled Members of Parliament to engage with the views of local brewers and industry specialists to discuss the way that the government taxes beer.
At the Autumn Statement last year the Chancellor decided to freeze beer duty until 1 August. This means he’s due to make a decision on beer duty from the summer in his Spring Budget.
Greg Smith MP commented: “Our independent breweries and local pubs are a key part of the community and I’m proud of the contribution they make to the local economy in Buckinghamshire. At a time when the brewing and pub sector is under enormous pressure it is right that the Government considers what it can do to help and increasing Draught Relief to 20% would give it the boost it needs. This is why I’m supporting the Make It 20% campaign and calling on the Chancellor to consider increasing the Draught Relief in his Budget in March.”
Andy Slee, Chief Executive of SIBA commented: “I’m grateful to MPs for supporting local independent brewers and giving their backing to the Make It 20% campaign. The Draught Relief has been a gamechanger for the brewing and pubs sector allowing draught beer destined for the pub to have a lower rate of duty than beer sold elsewhere and there is already tentative evidence that it is working to revive draught beer in pubs. We hope that the Chancellor will look at increasing this to 20% in his Budget next month.”
Tom Stainer, Chief Executive of CAMRA, added: “We know that pubs are at the heart of communities across Buckingham, bringing people together and helping to tackle loneliness and social isolation. CAMRA members will be delighted that Greg Smith is working to make sure that consumers, pubs and local breweries get the support they need to survive and thrive.”
