'Not Welcome!': The Government's Dispute with Local Inns Forecasts a Fresh Year Headache.

Government ministers heading back to their constituencies this end of the week might experience a wave of respite as a turbulent political term concludes. Yet, for those hoping to visit their community tavern for a casual beer, festive cheer could be in short supply. Indeed, some may find they are unwelcome inside.

For weeks, businesses throughout the nation have been posting signs that state "MPs Barred" in objection to revisions in commercial property taxes revealed by the Finance Minister, Rachel Reeves, in her latest financial statement.

This protest translates to one fewer escape for many Labour MPs seeking refuge from the difficult situation of their slumping poll ratings. Representatives now report commonplace hostility in community settings after a rocky first 18 months that has seen the party's ratings plummet from around a third to roughly 18%.

"It is difficult being the MP of the constituency you have always lived in," commented one. "Our neighborhood bar is where we went with the kids and just be a ordinary family. But the past occasions we've just ended up being shouted at by other patrons. Now I'm not even sure we'll be able to enter."

This palpable disappointment is clear in a recent video by Tom Hayes, the Labour MP for Bournemouth East, addressing being banned from one of his regular haunts, the Larderhouse.

"We're in the festive period," he noted. "Yet the Larderhouse and other businesses with a 'MPs Not Welcome' notice in the window, they are damaging the inclusive culture that local entrepreneurs have helped to nourish." He continued, "We need to remove politics off the town centre completely, but particularly at Christmas."

A Cornerstone in the British Psyche

After a challenging period marked by economic pressures, the COVID-19 crisis, and evolving social trends, landlords were optimistic the chancellor's statement might bring some relief—particularly through a much-anticipated overhaul of the business rates system.

However the chancellor disappointed those expectations, leaving the system largely unchanged and opting rather to reduce the multiplier and allocate £4.3bn over three years in aid for the shops, pubs, and restaurants sectors.

While seemingly a gesture of goodwill, the value of that support package has been dwarfed by the effect of a periodic property reassessment, which has caused the taxable value of hospitality venues to surge from their Covid-affected lows.

From next April, rates are set to jump by 115% for the typical hotel and 76% for a pub, in contrast to just four percent for large supermarkets and 7% for distribution warehouses. Whitbread, which operates multiple brands, says it will face an extra tax bill of between £40m and £50m as a consequence.

Joe Butler, the landlord at the Tollemache Arms in Northamptonshire, said: "Literally overnight, the worth of our business has increased twofold. That's going to be a massive rise for us."

This burden on publicans is directly reflected in the price of a punter's pint.

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

Simultaneously, pandemic-related tax discounts are ending, while sector businesses are still managing rises in national insurance and the living wage from last year's budget.

"If you tried to design the worst possible financial plan for pubs and consumers, you couldn't have done much worse than what came out," said Ash Corbett-Collins, the chairperson of Camra, the consumer organisation.

A number within the governing party think this is a battle they could have sidestepped, not least because of the central place the community pub plays in British culture.

Richard Quigley, the MP for the Isle of Wight West, who also operates a fish and chip shop on the island, commented: "We pledged for two years to pubs and hospitality businesses that we are going to offer relief but then they get slapped with this new assessment. We must not see taxes going down for large multinational companies but up for small restaurants and pubs."

Observers note that Keir Starmer himself has often been a frequent patron at his local pub, the Pineapple in north London, and regularly mentions their importance to local communities. "We all enjoy nothing more than going to the local for a pint, myself included," the PM said in February.

But political analysts compare confronting pub owners to doing so with NHS workers in terms of popular sentiment.

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

"In the public's view the neighborhood inn is perceived to be an important part of the locality, even if a significant number of those same people will rarely actually drink there.

"The danger for politicians with making an enemy of pubs is that your opponents will quickly accuse you of assaulting the core of this country and its traditions, especially in rural areas. 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 coordinator of the "MPs Barred" campaign. Lennox reports he has distributed signs to nearly 1,000 venues and is mailing 100 more every day.

His protest has gained the endorsement of a number of prominent 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—however the latter has said he will not refuse service to Labour MPs.

"We have been asking for help for a years," explained Lennox, who is advocating for a short-term VAT reduction. "The government is presenting this as a helpful policy but that's not what people are seeing, and that is the thing that has frustrated so many people."

Some within the hospitality trade think a protest banning individual Labour MPs is may be counterproductive. "I'm not sure it's a good idea to ban the very individuals we should be trying to invite in and speak to," argued Corbett-Collins.

When pressed this week, the Exchequer spoke of the assistance being made available to the sector. "We have aided pubs, restaurants and cafes with the budget's £4.3bn investment. This is in addition to our work to simplify licensing, maintaining our reduction to alcohol duty on beer from the tap, and capping corporation tax," a official commented.

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

Derrick Gardner
Derrick Gardner

A passionate designer and educator with over a decade of experience in digital art and user interface design.