Independent brewers are urging the chancellor to Drop the Tap Tax in his Budget next month to support local community pubs and breweries.
They have launched a national campaign, asking pub-goers, beer drinkers, and supporters to sign a petition at droptaptax.com calling for the tax on pub beer to be lowered. Supporters can also use the site to contact their local MP and encourage them to back the campaign.
“Our pubs and breweries are tapped out, we lost 137 breweries last year, and two pubs a day were closing at the beginning of this year,” said Andy Slee, chief executive of the Society of Independent Brewers and Associates (SIBA), which is leading the campaign.
“The chancellor has the power to lower the tax on beer sold in our pubs in his Budget, which would be a real boost for our community pubs and independent breweries. We’re encouraging pub-goers, beer drinkers, and others to show their support by signing the petition and contacting their MP to urge the chancellor to Drop the Tap Tax in October.”
Using a mechanism called Draught Relief, the chancellor can lower alcohol duty specially on beer sold in pubs via handpulls and keg taps. It’s currently set at a 13.9% differential, and independent brewers believe that an extended rate of 30% or more could support jobs, help grow the economy, and see more pints being served.
With seven out of 10 pints produced by independent breweries sold either directly at the brewery taproom or at local pubs within 40 miles, getting the chancellor to Drop the Tap Tax could make a real difference to the future of community pubs and brewers.
“Beer is an essential part of the pub experience, representing about 60% of all drinks they sell,” said Anthony Hughes, SIBA chairman and founder of Lincoln Green Brewing Company. “Yet they face one of the highest beer duty rates in Europe. If the chancellor wants to see growth in every postcode and our pubs thriving, then the best place to start is with lowering tax on pub beer.”
