'Not Welcome!': Labour's Dispute with Pubs Signals a Fresh Year Challenge.

Elected representatives heading back to their constituencies this weekend might breathe a sigh of relief as a turbulent political term ends. Yet, for those planning to frequent their neighborhood bar for a relaxing beer, holiday spirit could be in short supply. In fact, some may discover they are barred from entry.

Over the past few weeks, establishments nationwide have been putting up signs that declare "No Labour MPs" in protest to revisions in business rates unveiled by the Finance Minister, Rachel Reeves, in her most recent budget.

This movement results in one fewer retreat for many Labour MPs seeking solace from the difficult situation of their public disapproval. Backbenchers now report frequent animosity in public spaces after a difficult first period that has seen the approval numbers fall from around 34% to roughly 18%.

"It's challenging being the representative of the area you have forever lived in," said one. "That pub is where we went with the kids and just be a ordinary 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 get in."

This sense of dismay is visible in a recent video by Tom Hayes, the Member of Parliament for Bournemouth East, addressing being banned from one of his regular haunts, the Larderhouse.

"It's meant to be a time of joy," he noted. "But the Larderhouse and other businesses with a 'MPs Not Welcome' sticker in the window, they are eroding the inclusive culture that publicans have helped to foster." He added, "Politics must be kept politics off the main street completely, but especially at Christmas."

A Cornerstone in the National Identity

After a tough times marked by high costs, the COVID-19 crisis, and changing habits, licensees were optimistic the chancellor's statement might bring some relief—namely through a overdue overhaul of the commercial tax system.

However the chancellor dashed those expectations, leaving the system largely unchanged and choosing instead to reduce the multiplier and commit £4.3bn over three years in aid for the shops, pubs, and restaurants sectors.

While seemingly a gesture of goodwill, the impact of that support package has been minimized by the effect of a periodic property reassessment, which has caused the rateable value of pubs and restaurants to surge from their pandemic-era lows.

From next April, rates are set to jump by more than double for the typical hotel and 76% for a public house, compared with just 4% for big grocery chains and 7% for logistics centres. Whitbread, which owns multiple brands, states it will face an extra tax bill of between £40m and £50m as a outcome.

Joe Butler, the publican at the Tollemache Arms in Northamptonshire, said: "With the click of a finger, the worth of our business has increased twofold. That's going to be a massive rise for us."

This pressure on business owners is directly passed on to the price of a punter's pint.

"The price of a pint is now too high. When we first started here 10 years ago, we charged £3.40 a pint. We're now approaching £7 a pint," Butler added.

At the same time, pandemic-related tax discounts are being phased out, while hospitality operators are still managing rises in employer contributions and the minimum wage from last year's budget.

"If you tried to design the worst possible financial plan for the hospitality sector and its customers, you couldn't have done much worse than what came out," stated Ash Corbett-Collins, the chair of Camra, the consumer organisation.

Several within the Labour party believe this is a battle they should not have picked, not least because of the central role the community pub holds in society.

Richard Quigley, the MP for the Isle of Wight West, who also operates a chip shop on the island, commented: "We promised for two years to the sector that we are going to help you out but then they get slapped with this new assessment. We can't have rates being reduced for big corporations but up for local venues."

Some highlight that Keir Starmer himself has often been a frequent patron at his local pub, the Pineapple in north London, and frequently speaks of their significance to local communities. "We all enjoy nothing more than going to the local for a drink, myself included," the PM remarked in February.

But political analysts liken picking a fight with publicans to taking on NHS workers in terms of popular sentiment.

Joe Twyman, co-founder of the public opinion consultancy Deltapoll, said: "In fiction and in fact, pubs have a special place in the British psyche.

"In the public's view the local pub is perceived to be an integral component of the locality, even if a large segment of those same people will rarely actually drink there.

"The danger for politicians with making an enemy of pubs is that your critics will easily be able to accuse you of undermining the very heart of this country and its traditions, notably in rural areas. And they will be able to produce many heartfelt examples to drive the message home."

'A Matter of Principle'

One such case is Andy Lennox, the landlord at the Old Thatch pub in Wimborne, Dorset, and the organiser of the "No Labour MPs" initiative. Lennox states he has provided signs to nearly 1,000 venues and is dispatching 100 more every day.

His action has been backed by a number of well-known figures, such as broadcaster Jeremy Clarkson, who runs a pub called the Farmer's Dog, and singer Rick Astley, who part-owns a brewpub in north London—however the latter has clarified he will not refuse service to Labour MPs.

"We have long sought relief for a years," stated Lennox, who is advocating for a temporary VAT reduction. "Ministers is dressing this up as a helpful policy but that's not what people are experiencing, and that is the thing that has frustrated so many people."

Several within the sector think a protest banning individual politicians is may be counterproductive. "I'm not sure it's a wise move to ban the exact people we should be trying to engage with and speak to," commented Corbett-Collins.

When questioned this week, the government department highlighted the package being made available to the sector. "We're protecting pubs, restaurants and cafes with the budget's £4.3bn support package. This is in addition to our initiatives to simplify licensing, keeping our cut to alcohol duty on beer from the tap, and limiting corporation tax," a representative said.

The business owners, on the other hand, are in not the frame of mind to back down, even if alienating MPs

Darren Maddox
Darren Maddox

A digital strategist and content creator passionate about exploring emerging trends and fostering online communities.