'You're Barred!': Labour's Clash with Pubs Signals a Upcoming Year Problem.

Elected representatives visiting their constituencies this weekend might experience a wave of respite as a hectic political term concludes. But, for those looking to visit their community tavern for a casual drink, goodwill could be lacking. Indeed, some may realize they are barred from entry.

Over the past few weeks, businesses across the country have been displaying signs that proclaim "No Labour MPs" in protest to changes in commercial property taxes unveiled by the Chancellor, Rachel Reeves, in her most recent financial statement.

This protest means one fewer haven for many Labour MPs seeking refuge from the difficult situation of their slumping poll ratings. MPs now describe frequent hostility in everyday places after a rocky first 18 months that has seen the party's ratings plummet from around a third to roughly under a fifth.

"It is difficult being the MP of the area you have always lived in," said one. "Our neighborhood bar is where we would go with the kids and just be a normal family. But the last few times we've just ended up being confronted by other drinkers. Now I'm not even sure we'll be able to be served."

This feeling of frustration is clear in a online clip by Tom Hayes, the Member of Parliament for Bournemouth East, lamenting being barred from one of his local pubs, the Larderhouse.

"We're in the festive period," he said. "But the Larderhouse and other businesses with a 'MPs Not Welcome' sticker in the window, they are eroding the inclusive culture that business owners have helped to cultivate." He went on, "We need to remove politics off the town centre altogether, but above all at Christmas."

A Cornerstone in the Public Consciousness

After a difficult few years marked by high costs, the pandemic, and changing habits, publicans were hopeful the budget might bring some support—specifically through a long-promised overhaul of the business rates system.

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

While seemingly a supportive move, the value of that funding pledge has been overshadowed by the effect of a periodic property reassessment, which has caused the taxable value of pubs and restaurants to spike from their Covid-affected lows.

From next April, rates are set to rise by more than double for the average hotel and over three-quarters for a pub, compared with just 4% for big grocery chains and seven percent for logistics centres. A major hospitality group, which operates multiple brands, says it will face an additional tax bill of between £40m and £50m as a result.

Joe Butler, the publican at the Tollemache Arms in Northamptonshire, commented: "Virtually instantly, the value of our business has increased twofold. That's going to be a huge increase for us."

This financial strain on publicans is certainly felt in the price of a customer's pint.

"The price of a pint is now unaffordable. When we first took this pub on 10 years ago, we charged £3.40 a pint. We're now approaching £7 a pint," Butler stated.

Furthermore, Covid-era tax discounts are being phased out, while hospitality operators are still coping with increases in employer contributions and the living wage from the previous budget.

"To create the most damaging budget for pubs and consumers, you wouldn't have got far away from what we saw," said Ash Corbett-Collins, the chair of Camra, the consumer organisation.

Several within the Labour party think this is a battle they could have sidestepped, not least because of the vital role the local pub holds in society.

Richard Quigley, the Labour MP for the Isle of Wight West, who also runs a 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 hit by this revaluation. We must not see taxes being reduced for big corporations but up for independent businesses."

Commentators point out 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. "We all enjoy nothing more than going to the pub for a drink, myself included," the prime minister said in February.

However pollsters compare picking a fight with publicans to doing so with NHS workers in terms of popular sentiment.

Joe Twyman, director of the polling firm Deltapoll, said: "In fiction and in fact, pubs have a cherished status in the public imagination.

"In the public's view the local pub is seen as an important part of the community, even if a significant number of those same people will rarely actually drink there.

"The hazard with alienating pubs is that your opponents will readily accuse you of undermining the very heart of this nation and its traditions, especially in the countryside. And they will be able to produce many emotive examples to prove their point."

'A Matter of Principle'

One such example is Andy Lennox, the landlord at the Old Thatch pub in Wimborne, Dorset, and the organiser of the "MPs Barred" campaign. Lennox states he has distributed stickers to nearly 1,000 venues and is mailing 100 more every day.

His campaign has been backed by a number of well-known figures, including television presenter Jeremy Clarkson, who owns a pub called the Farmer's Dog, and pop star Rick Astley, who part-owns a bar in north London—however the latter has clarified he will not actually ban Labour MPs.

"We have long sought help for a years," explained Lennox, who is demanding a temporary VAT reduction. "Ministers is spinning this as a support measure but that's not what people are feeling, and that is the thing that has frustrated so many people."

A number within the sector think a campaign singling out individual Labour MPs is may have unintended consequences. "I doubt it's a good idea to ban the exact people we should be trying to invite in and speak to," said Corbett-Collins.

When questioned this week, the Exchequer spoke of the assistance being offered to the sector. "We have aided pubs, restaurants and cafes with the budget's £4.3bn funding. This follows our work to ease licensing, maintaining our cut to alcohol duty on beer from the tap, and limiting corporation tax," a representative stated.

The publicans, nevertheless, are in little mood to back down, even if alienating MPs

Maria Marshall
Maria Marshall

Landscape architect with over 10 years of experience specializing in eco-friendly outdoor designs and sustainable materials.