Beer duty freeze would save 10,000 jobs and boost tax revenues, claims BBPA

The FINANCIAL — A freeze on beer duty could create 10,000 jobs but also increase tax revenues for the Government by £5m.

That's according to research in the Beer, Pubs and the Budget 2013 report by Oxford Economics, on the the behalf of the British Beer and Pub Association (BBPA), which claimed that a freeze in beer duty could boost the Government's coffers thanks to increased employment revenues and a reduction in social security payments.

Under the "duty escalator", beer duty rises by 2% above the rate of inflation each year, which the BBPA said has resulted in a 50% rise in duty since the escalator was put in place five years ago.

As Caterer and Hotelkeeper said, BBPA chief executive Brigid Simmonds said: "Far from hitting the bottom line, a duty freeze would raise revenues, protect thousands of jobs, and help one of our greatest national assets – our network of much-love British pubs, still struggling in difficult economic times. I hope this compelling analysis will persuade the Government that now is the time for change."