Wetherspoons boss Tim Martin warns pub owners of ‘more closures’ | UK | News

Wetherspoons boss Tim Martin has warned that British pubs face widespread closures unless the Government reforms what he describes as an unfair tax system that favors supermarkets. Sir Tim Martin, chairman and chief executive of JD Wetherspoons, said traditional pubs were at a competitive disadvantage due to high taxes on food and drink. He called on the pub industry to unite and support a VAT cut.

He said: “A drop in supermarket business rates, supermarkets paying much lower rates per pint sold, paying much lower business rates per pint.” He also called for business rates to be cut because rates for a pint sold are also much lower for supermarkets, widening the price gap and encouraging consumers to buy alcohol for home consumption.

he said Great Britain News: “What’s actually happening now is that the Government is subsidizing people to drink at home.”

Sir Tim expressed concern about high energy costs, which he described as the highest energy cost in the world and a factor pushing businesses abroad, warning that rising prices would make everyone poorer.

He said: “I think the real big problem facing the UK at the moment is that we have the highest energy charges in the whole world.”

Drawing parallels with the 1970s, he warned that rising energy prices were making everyone poorer as costs were reflected in every product and service.

He said the consequences of the current system are severe, with bars losing half of their beer sales since 2000. However, he added that his criticisms were aimed at creating a level playing field, not supermarkets.

Sir Tim also thought a recent proposal by the Greene King pub chain on business rates was overly complex and instead called for reduced prices for pubs only.

He argued that tax reform could actually increase Treasury revenues, given the pubs’ contribution to jobs and tax revenues.