Throughout January, Surrey-based Hogs Back Brewery is supporting its Tap customers by cutting the 20% VAT charge on all drinks.
The “No VAT in the Tap” promotion at the brewery in Tongham, near Farnham, means visitors get 20% off the usual price of drinks, with Hogs Back absorbing the tax.
The offer, which runs until the end of January, extends beyond Hogs Back’s own beer to the full range on the bar, including soft and hot drinks.
A pint of cask ale, including Hogs Back’s flagship Tongham TEA (Traditional English Ale) and Surrey Nirvana Session IPA, will be just £4 a pint. Keg beers including Hogstar Lager, Hog IPA and Hazy Hog Cider will be just £4.66 a pint.
Commenting on this offer, Hogs Back’s managing director, Miles Chesterman said: “Consumers are used to January sales and this year the Brewery Tap is no exception. 20% off the price of all drinks will make a significant difference to our loyal customers and we hope they will show their support by visiting the Tap more often and socialising during the loneliest month in the calendar.
“The additional point behind the offer is to support beleaguered British pubs that are the lynchpin of many communities. Pubs just about survived Covid, but are now buckling as a result of over-taxation, with a range of increased taxes and VAT adding more tax to the taxes.
“We have to try to get the message across to the Chancellor Rachel Reeves that we need long term help, not more tax.”
Hogs Back executive chairman Rupert Thompson added: “Pubs and the wider hospitality sector have been hit by wave after wave of tax increases, which it simply cannot bear any longer.
“Unexpected business rate increases are a massive new blow on top of soaring employment taxes and new packaging taxes. With VAT a huge burden for the sector, over-taxation is closing pubs every week. and a return to a 12.5% VAT rate on food and drink in pubs would dramatically boost our bottom lines. We need another brave initiative like ‘Eat Out To Help Out.’”
Here at Hand Crafted Drink Magazine we endorse such calls for a major overhaul of the business rate system. This latest increase – which may now not go ahead, following yet another government volte-face, in response to growing criticism in the media and across the industry – would have been the final nail in the coffin of many businesses.
What this issue has highlighted is that the there are major problems with the current system. Business rates are calculated on the rateable value of the premises, not the turnover of the company. Whereas corporation tax is based on profit, why not apply the same approach to determining the level of business rates due? It would be a much fairer system.
We wish Hogs Back and every business in the leisure and hospitality sector a prosperous New Year.
For more information about Hogs Back visit their website