'Not Welcome!': The Government's Battle with Pubs Signals a New Year Headache.

Government ministers visiting their constituencies this weekend might breathe a sigh of relief as a hectic parliamentary session ends. Yet, for those looking to frequent their local pub for a relaxing drink, festive cheer could be scarce. In fact, some may find they are not allowed through the door.

Over the past few weeks, venues throughout the nation have been displaying signs that declare "Labour MPs Not Welcome" in demonstration to revisions in business rates announced by the Chancellor, Rachel Reeves, in her most recent budget.

This campaign results in one fewer haven for many government backbenchers seeking refuge from the harsh truth of their public disapproval. Representatives now report frequent antagonism in public spaces after a difficult first period that has seen the party's ratings plummet from around 34% to roughly 18%.

"It can be hard being the representative of the area you have always lived in," commented one. "That pub is where we used to go with the kids and just be a regular family. But the recent visits we've just ended up being confronted by other customers. Now I'm not even sure we'll be able to enter."

This feeling of frustration is clear in a online clip by Tom Hayes, the Labour MP for Bournemouth East, addressing being barred from one of his regular haunts, the Larderhouse.

"It's the Christmas season," he noted. "Yet the Larderhouse and other establishments with a 'MPs Not Welcome' sign in the window, they are damaging the community spirit that publicans have helped to cultivate." He added, "Politics must be kept politics off the high street completely, but particularly at Christmas."

'Pubs Have a Special Place in the National Identity

After a tough times marked by economic pressures, the COVID-19 crisis, and evolving social trends, landlords were hopeful the chancellor's statement might bring some support—specifically through a overdue overhaul of the commercial tax system.

But the chancellor disappointed those hopes, leaving the system largely unchanged and choosing instead to reduce headline rates and commit £4.3bn over three years in aid for the shops, pubs, and restaurants sectors.

While perhaps a positive step, the value of that support package has been overshadowed by the effect of a periodic property reassessment, which has caused the rateable value of hospitality venues to increase sharply from their pandemic-era lows.

Starting from next April, rates are set to increase by more than double for the average hotel and 76% for a pub, compared with just four percent for large supermarkets and 7% for distribution warehouses. Whitbread, which operates pubs, restaurants and the Premier Inn hotel chain, states it will face an extra tax bill of between £40m and £50m as a outcome.

Joe Butler, the publican at the Tollemache Arms in Northamptonshire, explained: "Virtually instantly, the valuation of our business has increased twofold. That's going to be a significant burden for us."

This burden on business owners is inevitably reflected in the price of a customer's pint.

"The cost of a drink is now too high. When we first started here 10 years ago, we charged £3.40 a pint. We're now nearly £7 a pint," Butler added.

Simultaneously, Covid-era tax breaks are falling away, while sector businesses are still coping with rises in employer contributions and the living wage from last year's budget.

"If you tried to design the worst possible financial plan for the hospitality sector and its customers, you would have come close to what we saw," remarked Ash Corbett-Collins, the chair of Camra, the campaign for real ale.

Several within the Labour party believe this is a confrontation they should not have picked, not least because of the central place the neighborhood inn holds in national life.

Richard Quigley, the MP for the Isle of Wight West, who also runs a fish and chip shop on the island, commented: "We pledged for two years to the sector that we are going to provide support but then they get affected by this revaluation. We must not see taxes being reduced for big corporations but increasing for independent businesses."

Observers note that Keir Starmer himself has historically been a regular at his local pub, the Pineapple in north London, and often references their value to neighborhoods. "There is little we prefer than going to the local for a drink, myself included," the PM said in February.

Yet political analysts compare confronting publicans to taking on NHS workers in terms of public perception.

Joe Twyman, director of the public opinion consultancy Deltapoll, noted: "From the Queen Vic to the Rovers Return, pubs have a cherished status in the British psyche.

"For many people the local pub is perceived to be an important part of the locality, even if a significant number of those same people will seldom drink there.

"The danger for politicians with alienating pubs is that your opponents will quickly accuse you of assaulting the foundation of this country and its heritage, notably in the countryside. And they will be able to produce many powerful examples to prove their point."

'Not a Personal Vendetta'

One such example is Andy Lennox, the publican at the Old Thatch pub in Wimborne, Dorset, and the coordinator of the "No Labour MPs" campaign. Lennox states he has distributed stickers to nearly 1,000 venues and is sending out 100 more every day.

His action has received support from a number of well-known figures, including broadcaster Jeremy Clarkson, who runs a pub called the Farmer's Dog, and singer Rick Astley, who part-owns a brewpub in north London—though the latter has clarified he will not refuse service to Labour MPs.

"We have long sought help for a years," stated Lennox, who is demanding a short-term VAT reduction. "The government is spinning this as a relief package but that's not what people are feeling, and that is the thing that has aggrieved so many people."

A number within the hospitality trade believe a protest targeting individual Labour MPs is likely to backfire. "I'm not sure it's a good idea to ban the exact people we should be trying to persuade and speak to," said Corbett-Collins.

When pressed this week, the Exchequer spoke of the assistance being provided to hospitality. "We are supporting the hospitality industry with the budget's £4.3bn investment. This is in addition to our efforts to simplify licensing, maintaining our reduction to alcohol duty on beer from the tap, and capping corporation tax," a official commented.

The business owners, nevertheless, are in no mood to compromise, even if alienating MPs

Christopher Ellison
Christopher Ellison

Elara is a passionate writer and lifestyle coach, sharing her expertise to inspire creativity and personal development in everyday life.