'Not Welcome!': The Government's Battle with Local Inns Signals a Fresh Year Problem.

Labour MPs heading back to their constituencies this weekend might feel a sense of respite as a chaotic parliamentary session ends. However, for those planning to visit their community tavern for a casual drink, festive cheer could be scarce. In fact, some may realize they are unwelcome inside.

Over the past few weeks, establishments across the country have been posting signs that proclaim "No Labour MPs" in objection to revisions in commercial property taxes announced by the Chancellor, Rachel Reeves, in her autumn budget.

This campaign means one fewer retreat for many elected officials seeking refuge from the difficult situation of their public disapproval. MPs now describe commonplace animosity in everyday places after a challenging first 18 months that has seen the party's ratings plummet from around a third to roughly 18%.

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

This palpable disappointment is visible in a recent video by Tom Hayes, the Member of Parliament for Bournemouth East, lamenting being barred from one of his regular haunts, the Larderhouse.

"It's the Christmas season," he noted. "However the Larderhouse and other establishments with a 'No Labour MPs' sticker in the window, they are damaging the welcoming atmosphere that publicans have helped to cultivate." He added, "Politics must be kept politics off the main street full stop, but especially at Christmas."

A Cornerstone in the National Identity

After a tough times marked by economic pressures, the pandemic, and changing habits, landlords were anticipating the chancellor's statement might bring some assistance—namely through a long-promised revamp of the business rates system.

However the chancellor disappointed those expectations, leaving the system largely unchanged and opting rather to reduce the multiplier and commit £4.3bn over three years in financial support for the retail and hospitality sectors.

While seemingly a gesture of goodwill, the impact of that funding pledge has been minimized by the effect of a three-yearly property reassessment, which has caused the valuation of hospitality venues to surge from their Covid-affected lows.

From next April, business taxes are set to jump by 115% for the average hotel and 76% for a public house, in contrast to just four percent for big grocery chains and 7% for distribution warehouses. Whitbread, which owns pubs, restaurants and the Premier Inn hotel chain, states it will face an additional tax bill of between £40m and £50m as a outcome.

Joe Butler, the publican at the Tollemache Arms in Northamptonshire, commented: "Literally overnight, the worth of our business has increased twofold. That's going to be a massive rise for us."

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

"The price of a pint is now prohibitively expensive. When we first took this pub on 10 years ago, we charged £3.40 a pint. We're now approaching £7 a pint," Butler said.

Furthermore, pandemic-related tax discounts are falling away, while sector businesses are still coping with rises in employer contributions and the minimum wage from last year's budget.

"If you wanted to write the least helpful financial plan for the hospitality sector and its customers, you would have come close to what came out," said Ash Corbett-Collins, the chair of Camra, the consumer organisation.

A number within the Labour party believe this is a battle they should not have picked, not least because of the vital role the local pub holds in British culture.

Richard Quigley, the Labour MP for the Isle of Wight West, who also operates a chip shop on the island, commented: "We promised for two years to the sector that we are going to help you out but then they get slapped with this revaluation. We can't have taxes going down for large multinational companies but up for independent businesses."

Commentators point out that Keir Starmer himself has historically been a frequent patron at his local, the Pineapple in north London, and frequently speaks of their importance to neighborhoods. "There is little we prefer than going to the pub for a pint, myself included," the prime minister said in February.

But strategists liken antagonising pub owners to taking on NHS workers in terms of political risk.

Joe Twyman, co-founder of the polling firm Deltapoll, said: "In fiction and in fact, pubs have a unique position in the national consciousness.

"For many people the local pub is perceived to be an integral component of the community, even if a large segment of those same people will infrequently drink there.

"The political risk with making an enemy of pubs is that your opponents will easily be able to accuse you of assaulting the very heart of this nation and its traditions, notably in rural areas. And they will be able to produce many emotive examples to drive the message home."

'A Matter of Principle'

One such case is Andy Lennox, the publican at the Old Thatch pub in Wimborne, Dorset, and the coordinator of the "No Labour MPs" initiative. Lennox says he has handed out notices to nearly 1,000 establishments and is mailing 100 more every day.

His campaign has gained the endorsement of a number of prominent figures, including broadcaster Jeremy Clarkson, who owns a pub called the Farmer's Dog, and singer Rick Astley, who has a stake in a brewpub in north London—although the latter has clarified he will not formally bar Labour MPs.

"We have been asking for support for a years," stated Lennox, who is advocating for a temporary VAT reduction. "The Treasury is dressing this up as a helpful policy but that's not what people are feeling, and that is the thing that has angered so many people."

A number within the sector feel a protest targeting individual Labour MPs is may be counterproductive. "It's questionable it's a wise move to ban the very individuals we should be trying to persuade and lobby," said Corbett-Collins.

When questioned this week, the Exchequer spoke of the support being offered to hospitality. "We have aided the hospitality industry with the budget's £4.3bn investment. This is in addition to our work to ease licensing, keeping our cut to alcohol duty on beer from the tap, and limiting corporation tax," a spokesperson stated.

The business owners, nevertheless, are in no mood to yield, even if alienating MPs

Natalie Rodriguez
Natalie Rodriguez

A seasoned journalist with a passion for uncovering stories that matter, based in London.