PUBS CLOSE AS BEER SALES HIT THE FLOOR
Britain’s pubs are in jeopardy as drinkers stay away in droves – downing 2.2million fewer pints of beer a day than they did a year ago.
The beer industry blames the Government’s hikes in alcohol tax for driving up the price of a pint.
Pubs are bearing the brunt of the decline and the British Beer and Pub Association has warned that they are closing at a record rate.
Chief executive Rob Hayward said: “Many pubs are struggling. Closures are nearing six a day.”
The BBPA says the slump in beer sales is costing the Treasury millions of pounds in lost tax.
Struggling pub bosses have to take second jobs
By David MacLean
A BREWERY boss said some South Tyneside landlords are turning to second jobs just to keep their pub afloat.
Jarrow Brewery owner Jess McConnell said the future looks bleak for publicans.
His comments come after figures show beer sales fell by 8.3 per cent in the final quarter of 2008.
The British Beer and Pub Association (BBPA) recorded the highest fourth quarter fall since records began, with 2.2 million fewer pints of beer bought every day in pubs, restaurants and shops compared with the same period in 2007.
The BBPA blamed the decline in sales, which it says has pushed the rate of pub closures to six per day, on the Government's 18 per cent rise in beer duty in 2008.
Mr McConnell, who owns pubs in South Shields, Jarrow and Bill Quay, said: "The future looks bleak for many publicans, and many are giving up, while some are considering second jobs during the day and closing the pub at quieter times.
"The number of pubs closing in Britain has accelerated to 39 per week, 10 times as fast as in 2006.
"The only positive is the continued resurgence of real ale, which you still have to leave the house for."
Rob Hayward, chief executive, of the BBPA, said: "We are not asking for a tax handout – we just don't want our tax burden to be made worse."
The BBPA says that despite tax rises, it estimates falling beer sales have cost the Government £181m in duty and VAT since the March Budget.
Beer sales for 2008 dropped 5.5 per cent compared with 2007.
The figures, from the UK Quarterly Beer Barometer, reveal the brewing industry sold 404 million fewer pints at the end of 2008 than 10 years ago.
The Campaign for Real Ale has called for Government action, beginning with a freeze on beer tax.
A Treasury spokesman said: "The changes to alcohol duty announced in Budget 2008 will raise revenue to make progress towards the Government's target of halving child poverty on the way to eradicating it by 2020."
