British pubs face closures as cost pressures rise

Pub is a central part of British culture, social life and economy. However, unfortunately, you don’t have to walk too much in London to see the problem for the industry as a bunch of riding bars.

According to the latest figures of a pub, British beer and PUB Association (BBPA), it will be closed every day in 2025 in Great Britain. The industrial organ, representing more than 20,000 pubs, estimated that 378 pubs in England, Wales and Scotland this year would have more than 5,600 direct losses.

This comes in the middle of a challenging ground for the industry with consumer expenditures and a combination of increasing costs.

According to the Boden UK hospitality, minimum wage increases for workers, national insurance contributions and job rates have contributed to approximately 89,000 job losses in the hospitality sector since the autumn budget; This has been more than half of all business losses in England since last October.

London is experiencing a significant number of publoses.

Tim Skinner, the ruler of Devonshire Arms Pub near Bond Street in the center of London, said CNBC has a huge impact on higher costs.

“National insurance has increased directly, job rates have increased directly, and frankly, it means that a business like this should only find about £ 30,000 ($ 40,000) a year to stay immobilized.” He said.

Like many other public opinion, Skinner says he has to transfer some of these high costs to the consumer. This led to an average price of beer beer that exceeds £ 5 this summer.

“We have to transfer some of these costs to customers, but we are very careful about where we live in the market. We still have to fight for every pound where the customer is very competitive and willing to spend.

The British pub sector makes a significant economic contribution to the UK through direct income, employment and comprehensive supply chain. However, with the decrease in the industry and a large number of closing, the British Beer & Pub Association says that knocked effects for the UK economy will be important.

BBPA spokesman Charlie Hall, “cereals from glass to glass, our sector supports the pushing over £ 30 billion, 18 billion £ tax, one million business,” he said.

More publa will have a “great impact” on the supply chain, with everyone from Hop farmers to glass manufacturers affected by these losses.

British Pub hosts warn that urgent action is necessary to reduce job rates and VAT in the coming autumn budget. Pubs and beer factories are among the heaviest taxation sectors in the UK.

Star PUBS Operations Director Mick Howard emphasized the need to avoid the need for reform, beer task and national insurance contributions to protect the British PUB industry. If nothing is done, more pubs on the lid may be ahead.

“We know that consumers will still go to the bars. They can go to bars at different times. Now, they can go to bars for different reasons, but they still visit their local pubs. But without this support, if the costs still rise, the bars will not open the doors, Howard Howard said to CNBC.