Save the Pub campaign

Alistair Darling
Chancellor of the Exchequer
11 Downing Street
London

16^TH March 2009

Dear Mr Darling

Re Loss of Transitional Relief Business Rates. 01/04/09 & Budget April 2009

I am writing as a director of the above business, with some very grave concerns for our business, which all staff work extremely hard in order to be successful.

Our "Pub" has been open since 1857 & is what many consider the last "real pub" left in Worthing. It has history, previously being 3 Fishermans cottages, & visitors who come along and enjoy our premises regularly comment on how nice it is to see a "proper pub".

As you are fully aware, pubs in particular to any other businesses have been hit on all sides in the past couple of years, by extortionate levies on alcohol tax, energy prices, the smoking ban, the recession, greedy pub companies that tie you to the sale of price inflated stock, & locally, businesses closing, empty shops, & now the loss of transitional relief on business rates, that will surely mean the last rights for many more businesses

Please understand that we are not talking about a slight increase in our case, the amount has risen from £20001.66 to £28857.50, per year a rise of 44.3%. I am directly asking you a question, "where is our business to find this additional amount from"? Please note we cannot increase our prices each time you increase the duty, "TIED PUBS" like ours are forced to endure not only your increase, but the "PUB CO'S" exaggerated increase, compound that to include the annual producer's costs, & the budget, & it has gone out of all proportion. The general public have had enough increases due to your government's tax increases, we are losing regular customers & therefore regular income, & now we are asked to contribute another £8855.84. The customers have been disappearing in their droves but you are asking for more finance!

I would like to ask where are we to get the additional £8860 from? We work extremely hard, enduring long hours, we have made cuts as much as possible, and the case is not helped by the increases under "new labour" in annual holiday entitlement & minimum wage increases. Hence more additional costs for business owners.

For small businesses this has only resulted, in an increasing workload on hard working employers, who generally work harder & longer hours than their staff, as they can't afford additional staff, therefore the people who are probably in need of more time off themselves due to the excessive burden of trying to run their own business efficiently, are the ones who overwork themselves.

Whilst it is easy to say that there is a culture of alcohol related problems nationally, we as publicans pride ourselves in maintaining high standards regarding the licensing laws, responsible retailing & social drinking. We serve drinks & not drunks & discourage anti social drinking, however, we are constantly being penalised by your government at every opportunity.

A fine example is the recent temporary reduction in vat, your tactics of increasing the duty to counter act the reduction is not appreciated. When you increase the vat back to the new higher rate, in the not too distant future again it shouldn't be bonus for your treasury. It should be adjusted accordingly.

We live in Britain, although it appears a direct relative to eastern European countries in the height of communism.

In short, a pub that has survived for over 150 years will from now, when the transitional relief ceases i.e.01/04/09 be haemorrhaging money at an alarming rate thanks to your policies. This has not been caused by the world recession, but wholly due to excessive taxation of the government that you represent. The age group of our pub is generally over 35 (middle Britain) but even these customers are now coming out to for a social drink less and less due to the extreme taxation.. We cannot survive any further taxation. Compare the rest of Europe, alcohol taxation hardly exists.

We (all tied pubs) currently pay extortionate amounts in rent. We do not make much if any profit & need assistance now, my income, if calculated would be far below the national minimum rate!! How can that be right? No industry has been hit harder than ours, 39 pubs per week are currently closing, we need help urgently, and unless you help us financially, our trade will diminish & fade into history.

Please consider the immediate reinstatement of the transitional relief for all businesses, & help pubs. If it's poured into a glass do not tax it give us some relief. We have said this before but you chose to ignore our pleas! These people are the social drinkers, & citizens in the hub of most societies. They are not the people that cause the health authorities major expense. If it's in a can then fine, tax it, & leave decent social drinkers alone who do nothing more than enjoy a social drink with friends.

Unless you hear our call for urgent help, you could be the person in history to have killed the "Great British Pub". You have bailed out the banks, (caused by gross mismanagement) & you should assist our industry likewise.

I look forward to receiving your reply with much interest & to my comments, you are even invited & welcome to meet with me in a proper pub & then you might realise how financially crippling over taxation has affected our heritage, before time is called for the last time in this and many communities.

A reply at your earliest convenience would be much appreciated.

Yours truly,

Peter Wilson.