CAMRA calls for second beer duty freeze

The Campaign for Real Ale (CAMRA) has called on the UK government to freeze beer duty ahead of the Autumn Statement to help stem the rate of pub closures across the country.

Camra was initially set up to campaign for better quality beer, but it has since become a voice for the pub industry and beer drinkers as a whole (Photo: Camra)

The organisation has asked that the government protect the beer and pub sector by maintaining a freeze in beer duty in the upcoming Autumn Statement, and considers an additional cut on beer duty in next year’s Budget.

It follows the ‘Drop the Duty’ campaign by the WSTA, TaxPayers’ Alliance and the Scotch Whisky Association in 2015, which led to a freeze of wine duty and 2% cut to beer, spirits and cider. Earlier this year, the chancellor froze duty on beer and spirits, but lifted a freeze on wine duty in the 2016 Budget.

Now, CAMRA is calling for the government to freeze duty on beer again, with the negative impacts of the beer duty escalator, which operated from 2008 to 2013, still not overcome.

“UK pubs and breweries are facing a great deal of uncertainty in these times of economic uncertainty,” said Colin Valentine, CAMRA national chairman.

“Pubs in particular are facing significant cost burdens, including business rates, pension auto enrolment and increases to the national living wage. Coupled with UK beer drinkers paying significantly higher duty on their pint than other leading beer drinking nations, at 52.2p on the pint, we are seeing a significant shift from people drinking in pubs to people drinking at home.”

Pubs have been closing at an alarming rate in the UK. At its worst, CAMRA reported that 31 pubs were closing their doors in the UK every week. This rate has now slowed, dropping from 29 pubs per week in the first six months of 2015 to 27 in the latter half of the year, and now stands at 21 a week.

CAMRA has previously blamed cheap supermarket prices, high beer taxes and the high rents and wholesale beer prices charged by  pub-owning property companies for the continued closure of pubs.

“Pubs provide a safe, social environment to consume alcohol and in many cases act as the hub to the local community,” added Valentine. “They can have a huge impact on a person’s well-being and can help individuals make friends and build networks. Their continued existence, and the valued role that they play in society, should remain a priority for this Government.”