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Tax AND trade

Pubs and breweries are amongst the most heavily taxed business sectors

We campaign to reduce the unfair tax burden on our sector, champion their needs, and help our members understand how tax policies and export processes affect them. 

Tax is killing our breweries and pubs

Pubs and brewers are vital to jobs, communities and the economy, yet face the highest tax burden of any sector, with taxes taking 40% of brewers’ turnover and a third of pub spending. 

Duty Rates Across Europe

The UK’s beer duty is one of the highest in Europe. This graph shows how it compares to other countries.

Tax on a pint

Before your beer reaches the bar, brewers and pubs have already had to pay a range of different taxes. This graph shows the costs that make up an average pint.

The average price of a pint in the UK

Rising inflation and cost pressures throughout our pubs’ and brewers’ supply chains have an effect on the price you pay at the bar. This graph shows how these issues have impacted the cost of a pint in the UK.

Key Tax and Trade Policy Areas

Beer and Alcohol Duty

  • Beer duty in the UK remains among the highest in Europe, despite a period of freezes and reductions successfully achieved over the last decade
  • We campaign for lower beer duty, including an increase to Draught Relief, to support brewers and pubs across the country 
  • We have worked closely with HMRC on modernisation of the duty regime towards a common-sense strength-based taxation system 

Business Rates

  • Business rates is one of the largest fixed costs for pubs as bricks-and-mortar venues 
  • We advocate for a fairer business rates regime and reforms to reduce the disproportionate burden faced by pubs and avoid continued increases more broadly on our sector 
  • We work collaboratively across the sector and with the government to support a fair assessment of pub rateable values, including supporting a review into pub valuation methodology 

VAT

  • We campaign for lower VAT for the hospitality sector to provide equity with the retail sector and support the UK’s tourism offer
  • A lower rate of VAT for food and drink sold in pubs would help underpin sustainable growth, boost tourism

Trade

  • We work closely with members to understand export processes and opportunities for growth, championing their needs to ensure trade is accessible and cost-effective. 
  • We engage with Government to reduce punitive tariffs and non-tariff barriers to trade for beer through Free Trade Agreements, working with HMRC and DBT to resolve disputes.   
Go to Taxation policy page
Go to Trade policy page

England Business Rates Calculator

We have developed a practical and easy to use calculator to help publicans estimate what their business rates are likely to be. By entering a few key details about their premises, members can quickly gain a clearer understanding of their potential liability, helping them to plan ahead and manage costs more effectively.

The calculator is designed to support informed decision making, offering a straightforward way to sense check valuations and understand how changes to a property or valuation might impact the final bill. Whether reviewing current costs or preparing for upcoming changes, this tool provides a helpful starting point for navigating what can often be a complex system.

Log in to download the BBPA’s business rates calculator

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