'Entry Denied!': Labour's Clash with Local Inns Promises a New Year Headache.

Elected representatives heading back to their home districts this weekend might breathe a sigh of respite as a chaotic parliamentary session wraps up. However, for those planning to frequent their neighborhood bar for a casual pint, goodwill could be in short supply. Indeed, some may realize they are barred from entry.

In recent weeks, venues throughout the nation have been displaying signs that proclaim "MPs Barred" in protest to adjustments in business rates revealed by the Finance Minister, Rachel Reeves, in her most recent budget.

This movement translates to one fewer haven for many Labour MPs seeking solace from the difficult situation of their slumping poll ratings. MPs now report frequent animosity in everyday places after a rocky first period that has seen the party's ratings plummet from around 34% to roughly 18%.

"It is difficult being the representative of the constituency you have always lived in," said one. "Our neighborhood bar is where we used to go with the kids and just be a normal 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 enter."

This feeling of frustration is visible in a recent video by Tom Hayes, the Labour MP for Bournemouth East, addressing being refused entry to 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' sticker in the window, they are damaging the community spirit that publicans have helped to foster." He went on, "We need to remove politics off the town centre completely, but particularly at Christmas."

A Cornerstone in the National Identity

After a difficult few years marked by high costs, the COVID-19 crisis, and changing habits, licensees were hopeful the budget might bring some support—particularly through a much-anticipated overhaul of the business rates system.

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

While perhaps a supportive move, the impact of that funding pledge has been minimized by the effect of a periodic property reassessment, which has caused the valuation of pubs and restaurants to increase sharply from their Covid-affected lows.

From next April, rates are set to jump by 115% for the typical hotel and over three-quarters for a public house, in contrast to just four percent for large supermarkets and seven percent for logistics centres. A major hospitality group, which operates multiple brands, says it will face an extra tax bill of between £40m and £50m as a result.

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

This financial strain on publicans is certainly reflected in the price of a customer's pint.

"The cost of a drink is now unaffordable. When we first became landlords 10 years ago, we charged £3.40 a pint. We're now verging on £7 a pint," Butler said.

Furthermore, Covid-era tax breaks are being phased out, while hospitality operators are still absorbing increases in employer contributions and the minimum wage from the previous budget.

"To create the most damaging budget for pubs and consumers, you couldn't have done much worse than what we saw," said Ash Corbett-Collins, the chairperson of Camra, the campaign for real ale.

Many within the Labour party feel this is a confrontation they ought to have avoided, not least because of the vital place the local pub plays in British culture.

Richard Quigley, the MP for the Isle of Wight West, who also runs a chip shop on the island, said: "We pledged for two years to pubs and hospitality businesses that we are going to offer relief but then they get affected by this new assessment. We can't have rates going down for big corporations but increasing for local venues."

Some note that Keir Starmer himself has long been a regular at his local pub, the Pineapple in north London, and often references their importance to neighborhoods. "We all enjoy nothing more than going to the local for a drink, myself included," the PM said in February.

But strategists liken picking a fight with pub owners to doing so with NHS workers in terms of public perception.

Joe Twyman, director of the public opinion consultancy Deltapoll, noted: "In fiction and in fact, pubs have a cherished status in the national consciousness.

"In the public's view the local pub is regarded as an integral component of the community, even if a large segment of those same people will rarely actually drink there.

"The hazard with alienating pubs is that your critics will readily accuse you of undermining the very heart of this nation and its traditions, notably in the countryside. And they will be able to produce many powerful examples to drive the message home."

'Nothing Personal'

One such example is Andy Lennox, the publican at the Old Thatch pub in Wimborne, Dorset, and the coordinator of the "MPs Barred" campaign. Lennox says he has distributed stickers to nearly 1,000 venues and is sending out 100 more every day.

His campaign has gained the endorsement of several high-profile figures, including broadcaster Jeremy Clarkson, who owns a pub called the Farmer's Dog, and singer Rick Astley, who part-owns a bar in north London—however the latter has said he will not formally bar Labour MPs.

"We have been asking for support for a considerable period," stated Lennox, who is calling for a temporary VAT reduction. "The government is dressing this up as a support measure but that's not what people are feeling, and that is the thing that has frustrated so many people."

A number within the sector feel a campaign banning individual Labour MPs is could be counterproductive. "It's questionable it's a good idea to ban the very individuals we should be trying to invite in and lobby," argued Corbett-Collins.

When questioned this week, the Exchequer highlighted the package being offered to hospitality. "We're protecting the hospitality industry with the budget's £4.3bn funding. This follows our efforts to simplify licensing, maintaining our cut to alcohol duty on draught pints, and capping corporation tax," a representative commented.

The publicans, nevertheless, are in little mood to back down, even if alienating MPs

David Peterson
David Peterson

A tech-savvy entrepreneur with a passion for digital transformation and process optimization.