Anticipated Beer Sales Revenue Boost for Final Lionesses Match
The British Beer and Pub Association (BBPA) has called on the new Government to address the issue of high beer duty rates, business rates, and post-Budget cost burdens that have affected brewers and landlords. Emma McClarkin, the BBPA's chief executive, emphasized that reducing beer duty would drive economic growth, create jobs, and prevent communities from paying more than their European neighbours.
The Women's Euro final on Sunday is expected to result in an additional 1 million pints of beer being poured in the UK. McClarkin noted that the pub is often a "home away from home" for sports fans, and many will be flocking to pubs to cheer on the Lionesses. The overall economic uplift from the Women's Euros tournament is expected to be £13 million.
The BBPA estimates that the Women's Euro final alone will generate around £500,000 in duty for HM Treasury. However, the high beer duty rates in the UK are a cause for concern. UK pub goers pay over ten times more in beer duty than their Spanish counterparts, primarily because the UK has among the highest beer excise duties in Europe.
The UK's beer duty is approximately 61p per pint, which is around nine pence higher than in 2019. Spain, on the other hand, has kept their beer duties largely frozen or with minimal increases. The UK's significant duty increases, comparative rates, impact on consumer prices, and policy and economic considerations all contribute to this disparity.
The high duties push up the cost of beer in UK pubs significantly, often making it more than double the price of a comparable beer in Spain. This has drawn criticism from the beer and hospitality industries for hurting consumer affordability and pub trade growth, especially during events like the Euros where consumption spikes.
A heatwave and a packed live sports schedule, including Wimbledon finals, test cricket, and rugby internationals, have also contributed to a spike in beer sales in the UK this month. Despite this, the average pint in the UK now costs more than £5. The UK's beer duty is nearly three times the European average, and the country ranks fourth in paying the highest beer duty among competing nations.
The UK is facing a slew of new business costs, including Extended Producer Responsibility (EPR) packaging rules and increased employment costs. The BBPA has called for the Government to use the Budget to reduce beer duty due to the unfair situation of UK pub goers paying significantly more in beer duty than their Spanish counterparts.
- The high beer duty rates in the UK, approximately 61p per pint, are contributing to a significant increase in the cost of beer in pubs, making it more than double the price of a comparable beer in Spain.
- During major sports events like the Women's Euro final, the high beer duties push up the prices in UK pubs, hurting consumer affordability and potentially impacting pub trade growth.
- The BBPA has urged the Government to address the issue of high beer duty rates and use the Budget to reduce beer duty, citing the unfair situation where UK pub goers pay significantly more in beer duty than their Spanish counterparts.