Monday, March 31, 2008

Has Armageddon Arrived for the Licensed Trade?

Laurel has closed 60 pubs and then gone into liquidation, Camra announce 57 pub closures each month and Shepherd Neame issue a profit drop warning. Like for like beer sales throughout the UK are generally falling. We are being battered each day with more bad news.

The smoking ban has unquestionably presented a lot of licensed premises with deep financial problems, despite what those that support it would have us believe. And always remember that New Labour clearly stated in their election manifesto that pubs and restaurants would be excluded from the smoking ban.

So what does Government then do? Knowing that the cost of fuel, transportation , barley and a wealth of other factors that dictate costs to the operation of a pub have increased, and that a miracle would be required for many pubs to survive the increased operating costs Darling of the Exchequer imposes a whacking duty increase just to ensure that miracles don't happen!

The licensed trade must take on the Government if there is to be any likelihood of a long term future for pubs. In my area, East Sussex, pubs are closing at a terrifying rate and the really sad thing is that the closures do not appear to be giving any financial benefit to surrounding pubs. The customers are simply disappearing due to the high cost of an evening out in the local pub.

The grass roots of the trade must begin to bring customers on board in the fight for the survival of the great British pub.

Joe O'Riordan

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