Industry reacts: ‘More is needed’ from Autumn Statement

The hospitality industry has warned that the chancellor’s Autumn budget, unveiled yesterday (17 November), does not go far enough with plans for economic growth, adding that “more is needed” to support pubs and breweries. Responding to the Autumn Statement, UKHospitality CEO Kate Nicholls, said she was “pleased that the chancellor has listened to the vast majority of UKHospitality’s proposals on business rates, and said it was “encouraging” energy support will continue post-April “for the most vulnerable sectors, of which hospitality has already been recognised”. However, she warned the current system is still “outdated and not fit-for-purpose”, adding that the government made a manifesto commitment of root and branch review and “it’s essential that this is delivered as soon as possible”. She added: “What we failed to hear today from the chancellor was any plan for economic growth, despite him recognising its importance. Businesses create jobs, deliver higher wages and contribute millions in tax revenues but without a serious plan from the government, margins continue to be squeezed without a path forward to growth. “There is nothing to give firms confidence, let alone invest, and we need to see an urgent plan for economic growth and how business will be at the centre of that. UKHospitality stands ready to work with the government to develop such a plan and on the essential package of energy support post-April.” Emma McClarkin, CEO of the British Beer and Pub Association, meanwhile warned that the “failure to provide any further relief for our industry today will hit pubs, breweries and their customers extremely hard this winter, and will have a devastating, lasting impact on communities across the country”. She said: “Without lower beer duty or detail on whether energy costs will dramatically increase early next year, pub and brewers will still be forced to continue to make incredibly difficult decisions. The last thing they want to do is increase costs for their customers; they want to remain a place of solace, warmth and community, especially now, when the country needs them most. “The chancellor says we need to weather the storm together, but pubs and brewers are still facing a hurricane of costs leaving nothing but destruction in its wake. Their costs up 22% on average from last year, we are now losing 50 pubs a month for good. With the entire country being plunged further into a cost-of-living crisis that shows no signs of let up, there is nowhere for these businesses left to go.” She added: “Our pubs and brewers want to remain strong, serve their communities and have the potential to support the government’s mission to level up every single part of the UK. They have stood at the heart of villages, towns and cities for centuries. They pulled through the pandemic but are now faced with an existential crisis that will undoubtedly force more business closures in the coming months, as they simply have no options left. More is needed from the government to secure their future.”