Pubs offered 'no support' ahead of winter crisis

Industry sources have told The Yorkshire Post that they feel there is no plan to rescue the sector following conversations with leadership campaigns and government departments.

Pubs and hospitality venues are facing energy bills up to 12 times usual levels, meaning that without support, they will have to close this winter or even permanently.

Relaying conversations with civil servants drawing up plans for the next prime minister and chancellor, one industry source said they were told: “we can’t do or say anything.”

Writing for The Yorkshire Post, Emma McClarkin, CEO of the British Beer & Pub Association, said: “One of our nation’s most iconic and well-loved sectors is being left to try and sail in an endless storm where the waves are only getting stronger.”

Kate Nicholls, CEO of UKHospitality told The Yorkshire Post that there was a frustration that the crisis facing pubs has been “six months in the making”.

“It has worsened dramatically, and the issue for us is that it's a daily deteriorating situation,” she said.

The Liz Truss campaign maintains that it is “not ruling anything in or out” for business support, and decisions will only be made once she is in post.

The Yorkshire Post understands that Ms Truss’ previous commitment to reform business rates is about encouraging investment, rather than providing support to struggling pubs.

Yesterday Nadhim Zahawi, the current Chancellor who is set to be moved out of Number 11 next week, gave a clear view that pandemic-level grants should be under consideration by his predecessor.

"The lesson from Covid is that actually there are some levers like VAT, like business rates,” he told the Times.

Labour have suggested that its plans to slash business rates would save Yorkshire pubs over £2,500 each.

One industry source said that the sector was “receiving very little back from the Government in terms of engagement on how we can overcome the challenges”.

They added this was despite having made the “stark case for pubs and brewers quite clear.”

Echoing the lack of support from the government, another source said: “That frustration of “we can't do anything until we get a new government in place” is very real, and it's palpable.

They said that civil servants in BEIS and the Treasury “just take on board options” and leadership teams are still working out their policies, despite how a new prime minister will be in post within days.

“It’s complete stasis. At the moment it’s just one-sided,” they added.

“Certainly anyone supposedly in government is non-commital on everything as they don’t feel they can take any decisions or say anything.”

A Government spokesperson said: “No national government can control the global factors pushing up the price of energy and other business costs, but we will continue to support the hospitality sector in navigating the months ahead.”