Calls are growing for a freeze in beer duty in this year’s Budget, as a report shows that an astonishing 900,000 jobs depend on British beer and pubs – and almost half (44%) are younger workers aged 16-24, who need job these vital jobs the most. The figures show it is all the more vital that the Chancellor freezes beer duty in the Budget, says the BBPA.
The report, by economic experts Oxford Economics for the British Beer & Pub Association, also finds that the industry pays out £11 billion in wages, and adds £22 billion to the economy.
The industry makes “a significant contribution to every part of the UK,” says the report, though there are some local hot spots, such as Burton-on-Trent, where the industry is the backbone of the local economy. The full report, soon to be available, will show the impact of the industry in every Parliamentary constituency in the country.
Brewing itself sustains 80,000 UK jobs, but it is in pubs where the jobs impact is most felt, with 820,000 jobs. Britain now has over one thousand breweries (1,092) with the South West having the most (142). The industry also invests over £1 billion in capital investment
The report also shows the astonishing tax haul from the industry, of £12 billion in total taxes – enough in taxes to fund the Government’s entire transport budget.
Writing in the report, Adrian Cooper, Chief Executive Officer of Oxford Economics, says:
“Our findings again demonstrate that the importance of the beer and pub sector to the UK economy should not be underestimated. An important source of employment and output in every region, its activity provides significant tax contributions, investment, flexible working conditions and opportunities for young people to enter the labour market”
Brigid Simmonds, BBPA Chief Executive, adds:
“These 900,000 jobs are vital to the UK economy. The Chancellor played a blinder last year, with his historic and hugely popular cut in beer duty boosted jobs by 10,000. Let’s ensure that the benefits are not undone this year – we need a beer duty freeze in the Budget.”
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For further information please contact:
Neil Williams, Head of Media: (020) 7627 9156 / 07974 249 779
Gareth Barrett, Public Affairs Manager: Tel: (020) 7627 9154
Sophie McIntyre, Communications & Campaigns Officer: Tel: (020) 7627 9155
UK Parliamentary constituencies
The most breweries:
North Herefordshire 11
Colne Valley
Ludlow
Ross, Skye & Lochaber 10
The most pubs/inns:
Cities of London and Westminster 504
Glasgow Central
Edinburgh North and Leith 327
Argyll and Bute 264
Manchester Central
The most jobs in brewing companies
Burton
Edinburgh West 955
Wolverhampton South West 715
Bury St Edmunds 685
Woking
For further information on line, see www.beerandpub.com/
(Insert link to OE report)
For a pdf version of the new joint BBPA, SIBA, CAMRA, Pubs of Ulster ‘Beer Story – Fact s on Tap’ leaflet and infographics, click here.
UK beer duty – key facts:
· The beer and pub sector supports over 900,000 jobs, 46 per cent of which are held by 16-24 year olds.
· Beer and pubs contribute £22 billion to UK GDP and generate £12 billion in total tax revenue.
· 82 per cent of the beer sold in Britain is made here in Britain.
· 1 job in brewing generates 1 job in agriculture, 1 in the supply chain, 1 in retailing and 18 in pubs.
· From 2008 to 2013, beer tax increased by 42 per cent, with beer sales down 21 per cent, 7,000 pubs closing, and 58,000 UK jobs lost.
· A beer duty freeze in 2014/15 would cost the Treasury just £4 million, according to Oxford Economics.
· Beer duty rates in the UK are still among the highest of any country in Europe