'Not Welcome!': Labour's Battle with Local Inns Forecasts a Upcoming Year Headache.

Elected representatives returning to their local areas this end of the week might feel a sense of relief as a chaotic parliamentary session concludes. Yet, for those looking to visit their local pub for a casual beer, holiday spirit could be lacking. In fact, some may find they are unwelcome inside.

In recent weeks, businesses nationwide have been posting signs that declare "MPs Barred" in objection to revisions in commercial property taxes revealed by the Chancellor, Rachel Reeves, in her autumn budget.

This campaign means one fewer escape for many Labour MPs seeking refuge from the harsh truth of their slumping poll ratings. MPs now report commonplace hostility in community settings after a rocky first period that has seen the party's ratings plummet from around 34% to roughly 18%.

"It's challenging being the representative of the constituency you have forever lived in," said one. "The local pub is where we went with the kids and just be a normal family. But the past occasions we've just ended up being verbally abused by other drinkers. Now I'm not even sure we'll be able to get in."

This palpable disappointment is evident in a online clip by Tom Hayes, the Labour MP for Bournemouth East, addressing being banned from one of his regular haunts, the Larderhouse.

"It's the Christmas season," he stated. "However the Larderhouse and other businesses with a 'MPs Not Welcome' notice in the window, they are undermining the inclusive culture that local entrepreneurs have helped to foster." He continued, "We have to get politics off the town centre completely, but especially at Christmas."

A Cornerstone in the National Identity

After a challenging period marked by rising expenses, the COVID-19 crisis, and evolving social trends, publicans were anticipating the budget might bring some relief—namely through a much-anticipated reform of the business rates system.

Yet the chancellor dashed those expectations, leaving the system unreformed and choosing instead to lower headline rates and pledge £4.3bn over three years in aid for the shops, pubs, and restaurants sectors.

While perhaps a positive step, the value of that funding pledge has been minimized by the effect of a periodic property revaluation, which has caused the rateable value of pubs and restaurants to spike from their pandemic-era lows.

Beginning in next April, business taxes are set to increase by more than double for the average hotel and 76% for a pub, in contrast to just 4% for big grocery chains and 7% for logistics centres. Whitbread, which operates multiple brands, states it will face an additional tax bill of between £40m and £50m as a result.

Joe Butler, the publican at the Tollemache Arms in Northamptonshire, explained: "Virtually instantly, the valuation of our business has doubled. That's going to be a significant burden for us."

This financial strain on business owners is certainly felt in the price of a punter's pint.

"A pint of beer is now unaffordable. When we first became landlords 10 years ago, we charged £3.40 a pint. We're now nearly £7 a pint," Butler added.

Furthermore, Covid-era tax reliefs are being phased out, while hospitality operators are still coping with increases in national insurance and the minimum wage from the previous budget.

"If you tried to design the least helpful budget for pubs and consumers, you couldn't have done much worse than what we saw," remarked Ash Corbett-Collins, the chairperson of Camra, the campaign for real ale.

Several within the governing party feel this is a battle they ought to have avoided, not least because of the vital role the community pub plays in national life.

Richard Quigley, the MP for the Isle of Wight West, who also runs a chip shop on the island, argued: "We said for two years to the sector that we are going to offer relief but then they get slapped with this revaluation. We can't have rates going down for big corporations but up for small restaurants and pubs."

Commentators point out that Keir Starmer himself has historically been a regular at his local, the Pineapple in north London, and regularly mentions their importance to neighborhoods. "We all enjoy nothing more than going to the pub for a drink, myself included," the prime minister said in February.

Yet strategists liken confronting publicans to doing so with NHS workers in terms of popular sentiment.

Joe Twyman, director of the polling firm Deltapoll, explained: "From the Queen Vic to the Rovers Return, pubs have a special place in the national consciousness.

"For many people the neighborhood inn is seen as an important part of the community, even if a significant number of those same people will rarely actually drink there.

"The danger for politicians with making an enemy of pubs is that your opponents will quickly accuse you of assaulting the very heart of this nation and its history, notably in rural areas. And they will be able to produce many heartfelt examples to drive the message home."

'Nothing Personal'

One such instance is Andy Lennox, the landlord at the Old Thatch pub in Wimborne, Dorset, and the organiser of the "No Labour MPs" initiative. Lennox says he has distributed stickers to nearly 1,000 establishments and is mailing 100 more every day.

His campaign has received support from several well-known figures, including television presenter Jeremy Clarkson, who owns a pub called the Farmer's Dog, and pop star Rick Astley, who part-owns a brewpub in north London—although the latter has indicated he will not actually ban Labour MPs.

"We have pleaded for support for a years," explained Lennox, who is calling for a short-term VAT reduction. "The Treasury is spinning this as a helpful policy but that's not what people are experiencing, and that is the thing that has angered so many people."

Some within the hospitality trade think a campaign singling out individual Labour MPs is may backfire. "I doubt it's a effective strategy to ban the very individuals we should be trying to engage with and speak to," argued Corbett-Collins.

When questioned this week, the government department pointed to the assistance being provided to hospitality. "We're protecting pubs, restaurants and cafes with the budget's £4.3bn support package. This follows our work to ease licensing, keeping our reduction to alcohol duty on draught pints, and capping corporation tax," a spokesperson stated.

The publicans, on the other hand, are in no mood to compromise, even if turning away MPs

Shaun Washington
Shaun Washington

Tech enthusiast and startup advisor with a passion for innovation and helping new businesses thrive in competitive markets.