'You're Barred!': The Government's Dispute with Local Inns Signals a Fresh Year Headache.
Labour MPs heading back to their home districts this weekend might experience a wave of relief as a turbulent political term ends. But, for those planning to visit their neighborhood bar for a relaxing drink, goodwill could be in short supply. Actually, some may find they are unwelcome inside.
Over the past few weeks, businesses across the country have been putting up signs that state "MPs Barred" in demonstration to changes in business rates revealed by the Finance Minister, Rachel Reeves, in her most recent financial statement.
This movement translates to one fewer retreat for many elected officials seeking refuge from the bruising reality of their public disapproval. MPs now say frequent hostility in everyday places after a difficult first period that has seen the approval numbers plummet from around 34% to roughly under a fifth.
"It's challenging being the MP of the area you have always lived in," remarked one. "That pub is where we used to go with the kids and just be a normal family. But the last few times we've just ended up being shouted at by other patrons. Now I'm not even sure we'll be able to get in."
This feeling of frustration is evident in a recent video by Tom Hayes, the Member of Parliament for Bournemouth East, lamenting being refused entry to one of his local pubs, the Larderhouse.
"It's meant to be a time of joy," he stated. "However the Larderhouse and other businesses with a 'No Labour MPs' notice in the window, they are damaging the inclusive culture that business owners have helped to cultivate." He continued, "We need to remove politics off the town centre full stop, but especially at Christmas."
A Cherished Institution in the British Psyche
After a challenging period marked by high costs, the COVID-19 crisis, and evolving social trends, landlords were anticipating the budget might bring some support—namely through a much-anticipated reform of the commercial tax system.
But the chancellor disappointed those expectations, leaving the system unreformed and opting rather to lower the multiplier and commit £4.3bn over three years in aid for the retail and hospitality sectors.
While perhaps a supportive move, the impact of that funding pledge has been dwarfed by the effect of a three-yearly property revaluation, which has caused the taxable value of hospitality venues to spike from their Covid-affected lows.
From next April, rates are set to increase by 115% for the average hotel and over three-quarters for a public house, compared with just 4% for large supermarkets and seven percent for distribution warehouses. A major hospitality group, which operates pubs, restaurants and the Premier Inn hotel chain, estimates 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, commented: "With the click of a finger, the valuation of our business has increased twofold. That's going to be a huge increase for us."
This financial strain on business owners is inevitably felt in the price of a customer'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 verging on £7 a pint," Butler added.
Simultaneously, pandemic-related tax reliefs are ending, 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 least helpful budget for pubs and consumers, you wouldn't have got far away from what came out," remarked 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 central role the community pub holds in British culture.
Richard Quigley, the MP for the Isle of Wight West, who also runs a chip shop on the island, said: "We pledged for two years to the sector that we are going to help you out but then they get hit by this revaluation. We can't have rates being reduced for big corporations but increasing for small restaurants and pubs."
Commentators highlight that Keir Starmer himself has often been a frequent patron at his local pub, the Pineapple in north London, and often references their significance to neighborhoods. "There is little we prefer than going to the local for a drink, myself included," the prime minister remarked in February.
However strategists compare antagonising pub owners to doing so with NHS workers in terms of political risk.
Joe Twyman, co-founder of the public opinion consultancy Deltapoll, noted: "In fiction and in fact, pubs have a cherished status in the national consciousness.
"In the public's view the local pub is perceived to be an key pillar of the locality, even if a significant number of those same people will infrequently drink there.
"The hazard with alienating pubs is that your political rivals will easily be able to accuse you of undermining the very heart of this country and its traditions, particularly in the countryside. And they will be able to produce many powerful examples to prove their point."
'A Matter of Principle'
One such case is Andy Lennox, the landlord at the Old Thatch pub in Wimborne, Dorset, and the coordinator of the "No Labour MPs" campaign. Lennox says he has provided stickers to nearly 1,000 establishments and is sending out 100 more every day.
His protest has gained the endorsement of several high-profile figures, including television presenter Jeremy Clarkson, who runs a pub called the Farmer's Dog, and pop star Rick Astley, who has a stake in a brewpub in north London—though the latter has said he will not refuse service to Labour MPs.
"We have pleaded for help for a considerable period," said Lennox, who is calling for a temporary VAT reduction. "The Treasury is presenting this as a support measure but that's not what people are feeling, and that is the thing that has angered so many people."
A number within the industry believe a protest singling out individual Labour MPs is likely to be counterproductive. "It's questionable it's a good idea to ban the precise representatives we should be trying to persuade and lobby," commented Corbett-Collins.
When questioned this week, the government department highlighted the package being offered to the sector. "We are supporting the hospitality industry with the budget's £4.3bn support package. 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 publicans, nevertheless, are in little mood to back down, even if turning away MPs