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http://money.ninemsn.com.au/article.aspx?id=840774
Pubs are closing down at a record rate of seven a day in the UK, as the recession calls closing time for local boozers.
According to the British Beer and Pub Association (BBPA), 52 pubs and 461 jobs a week are being lost, with the smaller traditional local pubs the biggest victims.
The BBPA said the industry has faced a double whammy since hard-up drinkers began cutting back on nights out and the government cranked up taxes by 20 percent.
David Long, BBPA chief executive said the recession was hitting Britain's pubs hard with nearly 2400 pubs shutting in the last year. There are now 53,466 pubs across Britain.
"However, those economic pressures have been made much worse by a government that has continued to pile on tax and regulatory burdens. The last two budgets have seen a 20 percent increase in beer tax, which alone has added more than 600 million pounds to our tax bill."
The government's climbing taxes however, seem to have backfired. The BBPA figures reveal that the record closure of pubs is hitting the government's coffers to the tune of 254 million pounds in lost taxes.
The government is losing nearly 5.5 million pounds a week in taxes as pubs close down.
Job losses in the sector are costing the government a further 1.53 million a week in job seekers allowance.
"Closing pubs are not only a loss to communities, but a loss to the Treasury," said Dr Long.
"Government should look at valuing and rewarding pubs as community assets. Not only would this have social policy benefits by supporting a hub of community cohesion, but financial policy benefits in terms of tax revenues, particularly at a time when the public purse is stretched."
Local community pubs are faring the worst, closing at a rate of 40 every week, while branded pubs and cafe style bars are actually opening at 2 per week, the BBPA said.
Pubs are closing down at a record rate of seven a day in the UK, as the recession calls closing time for local boozers.
According to the British Beer and Pub Association (BBPA), 52 pubs and 461 jobs a week are being lost, with the smaller traditional local pubs the biggest victims.
The BBPA said the industry has faced a double whammy since hard-up drinkers began cutting back on nights out and the government cranked up taxes by 20 percent.
David Long, BBPA chief executive said the recession was hitting Britain's pubs hard with nearly 2400 pubs shutting in the last year. There are now 53,466 pubs across Britain.
"However, those economic pressures have been made much worse by a government that has continued to pile on tax and regulatory burdens. The last two budgets have seen a 20 percent increase in beer tax, which alone has added more than 600 million pounds to our tax bill."
The government's climbing taxes however, seem to have backfired. The BBPA figures reveal that the record closure of pubs is hitting the government's coffers to the tune of 254 million pounds in lost taxes.
The government is losing nearly 5.5 million pounds a week in taxes as pubs close down.
Job losses in the sector are costing the government a further 1.53 million a week in job seekers allowance.
"Closing pubs are not only a loss to communities, but a loss to the Treasury," said Dr Long.
"Government should look at valuing and rewarding pubs as community assets. Not only would this have social policy benefits by supporting a hub of community cohesion, but financial policy benefits in terms of tax revenues, particularly at a time when the public purse is stretched."
Local community pubs are faring the worst, closing at a rate of 40 every week, while branded pubs and cafe style bars are actually opening at 2 per week, the BBPA said.
