Pubs across the UK have been hit with an average additional cost of £14,000 due to a combination of tax rises and increased labour costs, according to new figures from the British Beer and Pub Association.

The trade body warned that higher national insurance contributions, increases in the national minimum wage, packaging taxes and changes to business rates have together wiped out the equivalent of nearly two weeks’ turnover for many pubs.

BBPA chief executive Emma McClarkin described the financial burden as “indefensible” and called on the Government to act swiftly. 

“Pubs are effectively having to run on empty for nearly a fortnight which is indefensible considering how vital they are to communities, livelihoods, and the economy,” she said.

The BBPA is pressing for urgent reform of the business rates system, arguing that it is outdated and unfairly penalises the hospitality sector. While the Labour Government has pledged to review the property tax, an interim report is not expected until later this summer.

In April, the Government reduced post-Covid business rates relief from 75 percent to 40 percent, significantly increasing costs for pubs, retailers, and leisure firms. The BBPA also warned earlier this year that soaring costs would push the average price of a pint past £5, with an expected rise of 21p.

“We are not asking for special treatment – we ask only for fairness,” said McClarkin. “We want a modernised, business rates system that supports, not punishes, pubs; Government to mitigate employment cost rises; and a review of the nonsensical and unfair EPR (extended producer responsibility) system.”