This week our Brexit Pub Guarantee comes into force, cutting taxes for 38,000 pubs and bars and supporting local businesses and communities as we work to grow the economy.
British pubs are the beating heart of our communities, but as they face rising costs we must do all we can to help them thrive.
That is why our Brexit Pub Guarantee comes into force. This measure is part of wider reforms to taxation, only possible thanks to Brexit, that also include taxing drinks according to strength and introducing new relief for small drinks producers.
This is because the government has expanded Draught Relief, which effectively freezes or cuts the alcohol duty on the vast majority of these drinks. This is to protect pubs, who are often undercut by supermarket competitors.
The government has pledged that the duty pubs and bars pay on these drinks will always be less than retailers, known as the Brexit Pubs Guarantee.
This tax reduction is part of a wider shake up of the alcohol duty system which also comes into effect from today – the biggest in 140 years.
These measures will help to support local businesses and communities by ensuring pubs and producers continue to thrive, helping to grow our economy.
The key changes are: all products taxed in line with alcohol by volume (ABV) strength, rather than different duty structures for different drinks; fewer main duty rates, from 15 to 6, to make it easier for businesses to grow and operate; there will be lower taxes on lower alcohol products – those below 3.5% alcohol by volume (ABV) in strength – a huge growth area in the drinks industry; all drinks above 8.5% ABV will pay the same rate regardless of product type.
This will mean that many UK favourites will see duty reductions. Irish cream will drop by 3p, cans of 5% ABV ready-to-drink spirit mixers by 6p, Prosecco by 61p and 500ml 3.4% pale ale by 20p a bottle.
Following the success of last year’s competition, I am also launching the Great Bassetlaw Pub Competition 2023.
As part of this competition, there is the main award of ‘Best Pub in Bassetlaw’ but also two sub-awards: ‘Best Family Pub’ and ‘Best Drinkers Pub’ as part of the competition. Last year’s overall winners were the excellent Blacksmiths Arms in Everton.
If you think your local deserves some recognition then I encourage you to get them to take part in this competition, as pubs and bars are often one of the major focal points in our communities, which bring together families, friends and those that matter the most to us.
The competition will launch from 5th August – 26th August, so get your local to contact my office: [email protected]
