Blog

Help for Pubs from Coalition Government

08 September 2010

Official figures show there was a net closure of 3,530 pubs across England under Labour from 1997 to 2010. The new coalition government has proposed further changes in their bid to help pubs struck by crippling business rates and reduced trade due to ‘loss leading' by some supermarkets.

Along with the proposal to automate small business rate relief, the government also wishes to give councils powers to levy discretionary business rate discounts - which, for example, could be used to support local pubs. They also propose to ban the sale of cut price alcohol and have already scrapped the planned 10% rise in cider duties.

This month, a report by the British Beer and Pub Association said that alcohol consumption in 2009 saw the sharpest year-on-year decline since 1948. Pubs, bars, off-licences and restaurants all saw alcohol sales fall, with the decline being attributed not only to the recession, but also hopefully due to the message getting through to the public on responsible drinking. Nonetheless, these proposals may be too late for many struggling publicans.

Nick Sercombe, Director of Surveying Services says," In the meantime, the existing rating system allows for MCC (Material Changes in Circumstances) to be lodged where trade has dropped as a result of physical factors in the locality. This could be the opening or expansion of new pubs in the area which has taken trade away from the subject premises. Ruddle Merz have been successful in many situations outlined above and remain available for advice."

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