Wednesday, 24 March 2010

CAMRA slams Budget duty increase

CAMRA, the Campaign for Real Ale, attacked the government's lack of regard for communuity pubs and responsible beer drinkers following a punitive increase in beer duty in today's Budget, with plans to increase duty above inflation for the next three years.
With close to six pubs a day closing, CAMRA fears these latest rises will mark the end for many more community pubs, with beer prices in pubs set to rise by up to 20p a pint. Instead of freezing beer duty and helpinn to protect community pubs, the Chancellor's last act before the general election is to impose a further duty hike that will lead to more pub closures, the campaign added. Beer duty has soared by an unprecedented 25% in the last two year.
Mike Benner, CAMRA's Chief Executive, said: "Today's Budget is a charter for the large supermarkets who irresponsibly promote alcohol as a loss leader at the expense of the nation's community pubs. We are totally at a loss to understand how a government that recognises the community value of pubs can impose such consistently draconian duty increases."
CAMRA also exppressed concern at the 10% above inflation increase in duty on cider and will demand government action to support and protect small cider producers.

7 Comments:

Blogger Johnny Norfolk said...

"The Campaign for Real Ale 2-- CAMRA -- hailed 19 March as a "fantastic day for cask beer drinkers and pubgoers as a result of a major package of reforms announced by John Healey MP, the new Minister for Pubs."

You see you just canot trust Labour. They say one thing and do another. I am very suprised at CAMRA being taken in by this Labour government. Will you never learn.

24 March 2010 at 23:38  
Blogger Cooking Lager said...

Go on Rog, explain how a 2p a pint tax rise becomes 20p at the pump. Rip off pubs cutting their own throat?

25 March 2010 at 16:49  
Blogger Roger Protz said...

It's known as "maintaining margins" -- wholesalers and distributors add a few pennies as the beer goes down the line.

27 March 2010 at 08:55  
Blogger Cooking Lager said...

So you are saying that when Darling puts 2p on, profiteering brewers/pub co owners/ landlords all take the opportunity to cash in.

All except low margin retailers, offering customers a good deal.

Nice Rog. Real Nice.

29 March 2010 at 10:16  
Blogger Jeff Rosenmeier said...

Cookie,

Not saying there isn't some 'profiteering' going on, but what Roger meant as maintaining margins is really just mathematics. As a business you have a gross margin (GM as a percentage) target to stay viable and so does everyone in the supply chain. 2p at the source goes out of the brewery higher than that, so the brewery can maintain its GM and it multiplies as it goes through the chain as each business has to do the same.

Of course, the loss leading lout you are necking probably doesn't apply to this logic... ;)

29 March 2010 at 15:06  
Blogger Roger Protz said...

Thanks, Jeff.

31 March 2010 at 15:17  
Anonymous Jenna said...

When I read this article, I remember when I hanged out with my friends and I ended up drinking a lot of beer until I drop. It really one of the best event in my life :D

3 April 2012 at 13:00  

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