'Not Welcome!': Labour's Dispute with Pubs Forecasts a New Year Problem.

Labour MPs visiting their constituencies this weekend might breathe a sigh of relief as a chaotic parliamentary session concludes. However, for those planning to stop by their neighborhood bar for a relaxing beer, festive cheer could be in short supply. In fact, some may find they are not allowed through the door.

For weeks, establishments throughout the nation have been posting signs that proclaim "No Labour MPs" in protest to revisions in business rates unveiled by the Finance Minister, Rachel Reeves, in her autumn financial statement.

This protest means one fewer retreat for many Labour MPs seeking refuge from the bruising reality of their party's unpopularity. Backbenchers now say regular antagonism in community settings after a difficult first 18 months that has seen the approval numbers drop sharply from around 34% to roughly 18%.

"It is difficult being the MP of the area you have forever lived in," said one. "That pub is where we used to go with the kids and just be a normal 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 social media post by Tom Hayes, the Labour MP for Bournemouth East, lamenting being refused entry to one of his local pubs, the Larderhouse.

"It's the Christmas season," he noted. "However the Larderhouse and other businesses with a 'No Labour MPs' sign in the window, they are undermining the welcoming atmosphere that local entrepreneurs have helped to foster." He continued, "We have to get politics off the main street full stop, but especially at Christmas."

A Cornerstone in the Public Consciousness

After a challenging period marked by economic pressures, the COVID-19 crisis, and evolving social trends, publicans were optimistic the chancellor's statement might bring some support—namely through a long-promised revamp of the commercial tax system.

However the chancellor poured cold water on those hopes, keeping the system unreformed and opting rather to lower the multiplier and pledge £4.3bn over three years in funding for the shops, pubs, and restaurants sectors.

While perhaps a supportive move, the value of that funding pledge has been overshadowed by the effect of a three-yearly property reassessment, which has caused the rateable value of pubs and restaurants to increase sharply from their Covid-affected lows.

Beginning in next April, business taxes are set to rise by more than double for the typical hotel and over three-quarters for a public house, versus just 4% for large supermarkets and seven percent for distribution warehouses. A major hospitality group, which operates multiple brands, states 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, explained: "Literally overnight, the value of our business has increased twofold. That's going to be a significant burden for us."

This burden on publicans is inevitably reflected in the price of a punter's pint.

"The price of a pint is now too high. When we first became landlords 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 managing rises in national insurance and the living wage from the previous budget.

"To create the least helpful financial plan for the hospitality sector and its customers, you wouldn't have got far away from what was announced," remarked Ash Corbett-Collins, the chairperson of Camra, the consumer organisation.

Several within the governing party believe this is a fight they could have sidestepped, not least because of the important place the neighborhood inn plays in British culture.

Richard Quigley, the Labour MP for the Isle of Wight West, who also runs a chip shop on the island, commented: "We said for two years to the sector that we are going to offer relief but then they get affected by this new assessment. We cannot allow rates going down for large multinational companies but up for small restaurants and pubs."

Some highlight that Keir Starmer himself has historically been a frequent patron at his local, the Pineapple in north London, and regularly mentions their significance to local communities. "There is little we prefer than going to the pub for a drink, myself included," the prime minister stated in February.

Yet political analysts compare picking a fight with publicans to challenging NHS workers in terms of political risk.

Joe Twyman, director of the polling firm Deltapoll, explained: "From soap operas to real life, pubs have a unique position in the national consciousness.

"In the public's view the local pub is regarded as an key pillar of the locality, even if a good proportion of those same people will seldom drink there.

"The hazard with making an enemy of pubs is that your opponents will easily be able to accuse you of attacking the foundation of this country and its traditions, notably in the countryside. And they will be able to produce many heartfelt 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 organiser of the "No Labour MPs" initiative. Lennox says he has distributed stickers to nearly 1,000 premises and is mailing 100 more every day.

His campaign has gained the endorsement of several well-known figures, such as television presenter Jeremy Clarkson, who runs a pub called the Farmer's Dog, and pop star Rick Astley, who part-owns a brewpub in north London—though the latter has indicated he will not formally bar Labour MPs.

"We have been asking for support for a considerable period," said Lennox, who is calling for a short-term VAT reduction. "Ministers is dressing this up as a support measure but that's not what people are seeing, and that is the thing that has frustrated so many people."

Some within the hospitality trade feel a campaign targeting individual Labour MPs is could backfire. "I'm not sure it's a wise move to ban the exact people we should be trying to persuade and lobby," commented Corbett-Collins.

When questioned this week, the Treasury spoke of the assistance being made available to the sector. "We are supporting the hospitality industry with the budget's £4.3bn funding. This comes on top of our initiatives to simplify licensing, keeping our cut to alcohol duty on draught pints, and capping corporation tax," a spokesperson stated.

The landlords, nevertheless, are in not the frame of mind to yield, even if losing MPs

Jacob Roberts
Jacob Roberts

A passionate tech writer and gaming aficionado with over a decade of experience in digital content creation.