'Not Welcome!': The Government's Battle with Local Inns Promises a New Year Challenge.
Labour MPs visiting their constituencies this weekend might feel a sense of respite as a turbulent political term concludes. However, for those hoping to stop by their local pub for a casual pint, festive cheer could be in short supply. In fact, some may discover they are unwelcome inside.
For weeks, businesses nationwide have been posting signs that state "Labour MPs Not Welcome" in objection to changes in commercial property taxes revealed by the Finance Minister, Rachel Reeves, in her autumn budget.
This movement means one fewer escape for many Labour MPs seeking refuge from the harsh truth of their slumping poll ratings. Representatives now say commonplace antagonism in community settings after a difficult first 18 months that has seen the government's support fall from around a third to roughly 18%.
"It's challenging being the representative of the constituency you have forever lived in," commented one. "Our neighborhood bar is where we used to go with the kids and just be a regular family. But the recent visits we've just ended up being shouted at by other customers. Now I'm not even sure we'll be able to enter."
This sense of dismay is visible in a online clip by Tom Hayes, the Labour MP for Bournemouth East, discussing being barred from one of his regular haunts, the Larderhouse.
"It's meant to be a time of joy," he noted. "Yet the Larderhouse and other businesses with a 'MPs Not Welcome' sign in the window, they are damaging the welcoming atmosphere that local entrepreneurs have helped to nourish." He went on, "We have to get politics off the main street full stop, but especially at Christmas."
A Cornerstone in the Public Consciousness
After a difficult few years marked by high costs, the COVID-19 crisis, and changing habits, licensees were anticipating the chancellor's statement might bring some relief—namely through a overdue revamp of the business rates system.
Yet the chancellor dashed those expectations, leaving the system largely unchanged and choosing instead to reduce the multiplier and pledge £4.3bn over three years in funding for the retail and hospitality sectors.
While seemingly a gesture of goodwill, the value of that funding pledge has been minimized by the effect of a three-yearly property reassessment, which has caused the rateable value of pubs and restaurants to surge from their pandemic-era lows.
Starting from next April, rates are set to increase by 115% for the average hotel and 76% for a pub, versus just 4% for big grocery chains and 7% for logistics centres. Whitbread, which owns multiple brands, says it will face an additional tax bill of between £40m and £50m as a outcome.
Joe Butler, the publican at the Tollemache Arms in Northamptonshire, explained: "Virtually instantly, the value of our business has doubled. That's going to be a significant burden for us."
This pressure on publicans is certainly reflected in the price of a customer's pint.
"A pint of beer is now prohibitively expensive. When we first took this pub on 10 years ago, we charged £3.40 a pint. We're now nearly £7 a pint," Butler added.
Furthermore, Covid-era tax reliefs are falling away, while hospitality operators are still absorbing increases in employer contributions and the minimum wage from the previous budget.
"If you tried to design the least helpful budget for the hospitality sector and its customers, you would have come close to what was announced," said Ash Corbett-Collins, the chair of Camra, the consumer organisation.
Many within the Labour party think this is a confrontation they should not have picked, not least because of the central role the local pub holds in society.
Richard Quigley, the Labour 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 provide support but then they get hit by this new assessment. We must not see rates being reduced for large multinational companies but increasing for independent businesses."
Observers note that Keir Starmer himself has historically been a regular at his local pub, the Pineapple in north London, and frequently speaks of their value to neighborhoods. "There's nothing any of us like better than going to the pub for a pint, myself included," the prime minister remarked in February.
Yet strategists liken picking a fight with pub owners to taking on NHS workers in terms of popular sentiment.
Joe Twyman, director of the public opinion consultancy Deltapoll, explained: "From the Queen Vic to the Rovers Return, pubs have a special place in the public imagination.
"To a lot of individuals the neighborhood inn is seen as an key pillar of the community, even if a good proportion of those same people will rarely actually drink there.
"The danger for politicians with antagonising pubs is that your opponents will readily accuse you of attacking the very heart of this nation and its history, especially in the countryside. And they will be able to produce many emotive examples to drive the message home."
'A Matter of Principle'
One such example is Andy Lennox, the publican at the Old Thatch pub in Wimborne, Dorset, and the organiser of the "MPs Barred" campaign. Lennox reports he has handed out notices to nearly 1,000 venues and is dispatching 100 more every day.
His campaign has gained the endorsement of several well-known figures, such as television presenter Jeremy Clarkson, who owns a pub called the Farmer's Dog, and pop star Rick Astley, who has a stake in a brewpub in north London—however the latter has indicated he will not actually ban Labour MPs.
"We have long sought support for a considerable period," stated Lennox, who is advocating for a temporary 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 aggrieved so many people."
Some within the sector think a protest singling out individual Labour MPs is likely to be counterproductive. "I'm not sure it's a wise move to ban the very individuals we should be trying to invite in and influence," commented Corbett-Collins.
When questioned this week, the Exchequer pointed to the support being made available to the sector. "We are supporting the hospitality industry with the budget's £4.3bn investment. This follows our work to ease licensing, keeping our cut to alcohol duty on beer from the tap, and capping corporation tax," a spokesperson commented.
The business owners, however, are in no mood to back down, even if losing MPs