BBPA calls for 30-day VAT increase delay after big freeze

23 December 2010 by
BBPA calls for 30-day VAT increase delay after big freeze

The British Beer & Pub Association (BBPA) has called of the Government to delay January 2011's VAT increase to ease pressure on pubs hit by the freezing weather.

The BBPA said extreme weather conditions have hit sales hard in Britain's pubs in what is normally a prosperous time.

As a result the BBPA said it had joined the chairman of the British Fashion Council Harold Tillman in calling for a postponement of the VAT increase, which will see it rise to 20% on 4 January, for 30 days.

The BBPA has also written to the Pubs Minister, Bob Neill MP, expressing its concerns over the impact of the VAT increase given the impact of the extreme weather conditions. And it pointed out that the VAT increase already hits pubs hard, with a pint of supermarket beer increasing by only 2p per pint compared to 6p a pint in pubs.

Brigid Simmonds, chief executive, said, "The run up to Christmas is normally one of the busiest times for pubs as people from all walks of life meet in pubs to celebrate the festive season.

"The very cold snap over the last few weeks has had a considerable adverse effect on pubs as parties have been cancelled and people struggle to travel. If there was any consideration by Ministers that the VAT increase should be postponed it would provide considerable help to the industry."

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