'Not Welcome!': Labour's Battle with Local Inns Signals a New Year Problem.

Elected representatives returning to their home districts this end of the week might experience a wave of relief as a chaotic political term wraps up. Yet, for those looking to frequent their neighborhood bar for a casual drink, holiday spirit could be lacking. In fact, some may find they are barred from entry.

For weeks, businesses nationwide have been posting signs that state "MPs Barred" in demonstration to revisions in business rates revealed by the Chancellor, Rachel Reeves, in her autumn financial statement.

This movement means one fewer escape for many government backbenchers seeking refuge from the harsh truth of their public disapproval. MPs now report commonplace animosity in public spaces after a challenging first year and a half that has seen the party's ratings plummet from around a third to roughly 18%.

"It can be hard being the MP of the constituency you have forever lived in," commented one. "The local pub is where we went with the kids and just be a regular family. But the last few times we've just ended up being shouted at by other customers. Now I'm not even sure we'll be able to be served."

This palpable disappointment is evident in a recent video by Tom Hayes, the Member of Parliament for Bournemouth East, addressing being banned from one of his local pubs, the Larderhouse.

"It's the Christmas season," he noted. "However the Larderhouse and other businesses with a 'MPs Not Welcome' sign in the window, they are undermining the inclusive culture that business owners have helped to nourish." He continued, "We have to get politics off the main street completely, but particularly at Christmas."

A Cornerstone in the British Psyche

After a difficult few years marked by economic pressures, the pandemic, and evolving social trends, publicans were optimistic the budget might bring some support—namely through a much-anticipated reform of the commercial tax system.

But the chancellor poured cold water on those expectations, keeping the system unreformed and choosing instead to lower the multiplier and commit £4.3bn over three years in aid for the shops, pubs, and restaurants sectors.

While seemingly a supportive move, the impact of that support package has been minimized by the effect of a periodic property revaluation, which has caused the rateable value of pubs and restaurants to increase sharply from their pandemic-era lows.

Beginning in next April, rates are set to jump by 115% for the typical hotel and over three-quarters for a public house, compared with just 4% for large supermarkets and seven percent for logistics centres. Whitbread, which operates multiple brands, says it will face an additional tax bill of between £40m and £50m as a result.

Joe Butler, the landlord at the Tollemache Arms in Northamptonshire, said: "Literally overnight, the value of our business has increased twofold. That's going to be a significant burden for us."

This pressure on business owners is directly passed on to the price of a customer'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 verging on £7 a pint," Butler added.

At the same time, Covid-era tax breaks are ending, while hospitality operators are still absorbing rises in employer contributions and the minimum wage from last year's budget.

"To create the least helpful budget for pubs and consumers, you couldn't have done much worse than what was announced," remarked Ash Corbett-Collins, the chairperson of Camra, the consumer organisation.

A number within the governing party think this is a confrontation they ought to have avoided, not least because of the vital place the local pub holds in society.

Richard Quigley, the MP for the Isle of Wight West, who also operates a fish and chip shop on the island, argued: "We said for two years to pubs and hospitality businesses that we are going to offer relief but then they get affected by this revaluation. We can't have taxes being reduced for big corporations but increasing 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 importance to neighborhoods. "We all enjoy nothing more than going to the local for a pint, myself included," the prime minister stated in February.

However pollsters compare picking a fight with publicans to doing so with NHS workers in terms of popular sentiment.

Joe Twyman, co-founder of the public opinion consultancy Deltapoll, noted: "From the Queen Vic to the Rovers Return, pubs have a unique position in the British psyche.

"To a lot of individuals the local pub is seen as an integral component of the locality, even if a large segment of those same people will infrequently drink there.

"The danger for politicians with antagonising pubs is that your critics will easily be able to accuse you of undermining the core of this nation and its history, especially in rural areas. And they will be able to produce many powerful examples to drive the message home."

'Nothing Personal'

One such instance is Andy Lennox, the publican at the Old Thatch pub in Wimborne, Dorset, and the coordinator of the "MPs Barred" initiative. Lennox states he has provided notices to nearly 1,000 premises and is mailing 100 more every day.

His action has gained the endorsement of a number of high-profile figures, such as broadcaster Jeremy Clarkson, who runs a pub called the Farmer's Dog, and singer Rick Astley, who has a stake in a brewpub in north London—though the latter has clarified he will not actually ban Labour MPs.

"We have been asking for help for a years," said Lennox, who is calling for a short-term VAT reduction. "The government is presenting this as a helpful policy but that's not what people are feeling, and that is the thing that has aggrieved so many people."

A number within the sector believe a campaign banning individual politicians is may be counterproductive. "I'm not sure it's a effective strategy to ban the exact people we should be trying to invite in and speak to," argued Corbett-Collins.

When questioned this week, the Exchequer highlighted the assistance being offered to hospitality. "We have aided the hospitality industry with the budget's £4.3bn investment. This comes on top of our work to simplify licensing, keeping our reduction to alcohol duty on beer from the tap, and capping corporation tax," a spokesperson stated.

The publicans, nevertheless, are in not the frame of mind to yield, even if alienating MPs

Karen Williams
Karen Williams

A digital marketing strategist with over a decade of experience in e-commerce optimization and customer engagement.