'Entry Denied!': The Government's Clash with Pubs Forecasts a Upcoming Year Problem.

Labour MPs heading back to their home districts this end of the week might feel a sense of respite as a hectic parliamentary session concludes. But, for those looking to visit their neighborhood bar for a relaxing drink, festive cheer could be lacking. Indeed, some may find they are not allowed through the door.

In recent weeks, venues across the country have been posting signs that declare "No Labour MPs" in demonstration to revisions in business rates unveiled by the Finance Minister, Rachel Reeves, in her latest financial statement.

This protest means one fewer retreat for many Labour MPs seeking solace from the harsh truth of their slumping poll ratings. MPs now describe frequent animosity in public spaces after a difficult first 18 months that has seen the approval numbers drop sharply from around 34% to roughly 18%.

"It's challenging being the MP of the constituency you have forever lived in," said one. "Our neighborhood bar is where we went with the kids and just be a regular family. But the recent visits we've just ended up being verbally abused by other drinkers. Now I'm not even sure we'll be able to enter."

This feeling of frustration is evident in a recent video by Tom Hayes, the Member of Parliament for Bournemouth East, lamenting being barred from one of his regular haunts, the Larderhouse.

"We're in the festive period," he stated. "Yet the Larderhouse and other establishments with a 'No Labour MPs' sticker in the window, they are damaging the community spirit that publicans have helped to cultivate." He continued, "We have to get politics off the high street altogether, but above all at Christmas."

'Pubs Have a Special Place in the British Psyche

After a tough times marked by rising expenses, the COVID-19 crisis, and changing habits, publicans were optimistic the chancellor's statement might bring some assistance—namely through a long-promised reform of the business rates system.

But the chancellor dashed those expectations, leaving the system unreformed and opting rather to reduce headline rates and commit £4.3bn over three years in aid for the retail and hospitality sectors.

While perhaps a positive step, the benefit of that funding pledge has been dwarfed by the effect of a periodic property reassessment, which has caused the valuation of hospitality venues to spike from their Covid-affected lows.

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

Joe Butler, the publican at the Tollemache Arms in Northamptonshire, said: "With the click of a finger, the value of our business has doubled. That's going to be a huge increase for us."

This burden on business owners is inevitably felt in the price of a customer's pint.

"A pint of beer is now unaffordable. When we first became landlords 10 years ago, we charged £3.40 a pint. We're now approaching £7 a pint," Butler stated.

At the same time, Covid-era tax discounts are being phased out, while hospitality operators are still managing increases in employer contributions and the minimum wage from the previous budget.

"If you wanted to write the most damaging budget for the hospitality sector and its customers, you couldn't have done much worse than what was announced," stated Ash Corbett-Collins, the chair of Camra, the consumer organisation.

Many within the Labour party believe this is a fight they should not have picked, not least because of the important place the community pub holds in national life.

Richard Quigley, the MP for the Isle of Wight West, who also operates a chip shop on the island, commented: "We said for two years to pubs and hospitality businesses that we are going to offer relief but then they get slapped with this revaluation. We must not see taxes being reduced for large multinational companies but increasing for local venues."

Observers point out that Keir Starmer himself has historically been a frequent patron at his local, the Pineapple in north London, and frequently speaks of their significance to neighborhoods. "There is little we prefer than going to the pub for a pint, myself included," the PM stated in February.

However strategists compare picking a fight with pub owners to doing so with NHS workers in terms of political risk.

Joe Twyman, co-founder of the polling firm Deltapoll, said: "In fiction and in fact, pubs have a special place in the national consciousness.

"To a lot of individuals the neighborhood inn is perceived to be an important part of the community, even if a large segment of those same people will rarely actually drink there.

"The political risk with antagonising pubs is that your critics will readily accuse you of assaulting the very heart of this country and its traditions, especially in rural areas. And they will be able to produce many powerful examples to make their case."

'Nothing Personal'

One such case is Andy Lennox, the landlord at the Old Thatch pub in Wimborne, Dorset, and the coordinator of the "MPs Barred" initiative. Lennox states he has handed out signs to nearly 1,000 premises and is mailing 100 more every day.

His protest has been backed by a number of prominent figures, including broadcaster Jeremy Clarkson, who runs a pub called the Farmer's Dog, and pop star Rick Astley, who has a stake in a bar in north London—although the latter has indicated he will not formally bar Labour MPs.

"We have been asking for support for a very long time," said Lennox, who is calling for a short-term VAT reduction. "The Treasury is dressing this up as a support measure but that's not what people are experiencing, 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 may have unintended consequences. "It's questionable it's a good idea to ban the precise representatives we should be trying to invite in and lobby," argued Corbett-Collins.

When asked this week, the Exchequer highlighted the package being made available to hospitality. "We are supporting the hospitality industry with the budget's £4.3bn funding. This is in addition to our efforts to ease licensing, maintaining our cut to alcohol duty on beer from the tap, and capping corporation tax," a representative stated.

The business owners, however, are in not the frame of mind to compromise, even if losing MPs

Pamela Cole
Pamela Cole

A tech enthusiast and lifestyle blogger passionate about sharing innovative ideas and practical tips for modern living.