Review of the debate tabled in response to 100,000 signatures on the e-petition calling for an end to the beer duty escalator.

Thank you to everyone watching the debate and for all the fantastic activity and discussion on twitter #saveyourpint. We are delighted the motion has been passed and not a single MP spoke out in favour of the beer duty escalator. The result of the debate means a review of the escalator should be conducted and reported back before Budget 2013.

Thank you to all those who lobbied their MP, signed the e-petition and backed the campaign – we really appreciate your support. We now await the Government’s review.

Please read CAMRA’s response to the debate. 

See if your MP spoke at the debate - there may be other MPs who were present but did not speak and are therefore not on this list.

Please click for the debate in full

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LIVE BLOG

2.19pm – The debate concludes as the Deputy Speaker calls on the House asking if anyone opposes the motion. Silence in the House – the motion is carried.

2.17pm – Andrew Griffiths MP says he is disappointed that a more definite positive answer could not be given from the dispatch box. He says the campaign will continue because the future of a central part to our communities is at stake.

2.16pm – Sajid mentions Andrew Griffiths MP challenge to be the minister which saves the great British pub – he says he is tempted to become this – but will he puts his words into action?

2.14pm – The Minister mentions the Minimum Unit Pricing policy and need to tackle cheap alcohol in the off-trade.

2.15pm – Sajid wheels out the policies that have been introduced by the Coalition such as small brewer’s relief (introduced in 2002) and gaming machine duty as well as live music act.

2.11pm – Cathy calls on the Minister to actually review the current evidence around the beer tax policy – “it needs dusting down and not left on the shelf”.

2.09pm – The Minister quickly gets into the deficit and the plan the Coalition has set out and short sightedly points out that the escalator will provide needed revenue.

2.07pm – Treasury Minister Sajid Javid takes to the floor to conclude the debate. He thanks all those for signing the e-petition. He says this Gov does recognise the conribution pubs play and wants to see it prosper.

2.06pm – Shadow economic spokesman mentions concerns over the traditional pub disappearing in urban areas as well as rural and concludes by asking the treasury minister links with his BIS colleagues to review the wider importance of pubs in our societies.

2.04pm – Cathy states Labour’s position on the escalator and says it is a damaging policy because of the rise in VAT in conjunction with escalator and that Government made a mistake with this.

2.02pm – Cathy says she is sworn to secrecy around Scottish regional beer winner at her local CAMRA beer festival which she had the honour of judging.

2.00pm – Cathy mention CAMRA’s latest closure figures which show urgent action is needed. figures released by CAMRA today.

1.54pm – Shadow economic spokesman Cathy Jamieson MP congratulates the House on a great debate and says it shows the level of concern around this issue across all parties.

1.51pm – Jane Ellison is back. She says this debate has provided a “vivid mosaic” of the pub and brewing picture across the UK, and that this debate is a great use of backbench time. And of course she’s namechecked Sambrook’s brewery in her constituency

1.49pm – Really impressed that no MPs are defending the escalator – and real support from all parties for a review of the impact of the escalator, notably from Conservative backbenchers. This is going to be hard for the Government to ignore.

1.47pm – Richard Drax MP says that the escalator is “the perfect illustration of the law of diminishing returns”. In this Parliament alone tax will increase by a massive 27%. While beer prices have risen, beer sales have fallen.

1.42pm – Dan Rogerson is back on his feet. This time he’s saying that “beer is part of the culture of this country” – not in the way the tabloids would have you think, but because of the centuries of beer history and culture in the UK.

1.41pm – Richard is one of the many MPs who’ve worked a shift behind the bar in a local pub to better understand the pressures they face.

1.41pm “What could be more patriotic?” than drinking Bombardier beer (brewed in his constituency) asks Richard Fuller.

1.39pm – Richard Fuller MP (Bedford) is now asking the Government how it can ethically automatically increase tax “on such staples of life” as beer and fuel. Many other MPs are also equating the fuel duty escalator with the beer duty escalator and both should be scrapped.

1.37pm – Pauline and her husband are supporters of CAMRA because local pubs (and beer in the case of her husband!) are so important. However she’s very concerned about the damaging impact of the escalator on pubs

1.35pm – Pauline Latham is now speaking (though there are so many MPs wanting to speak that max speech lengths have been cut again).

1.34pm – Bob notes that this debae is taking place during British Pub Week so it’s well timed

1.31pm – Bob Russell (Colchester) is describing a pub in his constituency that’s been in CAMRA’s Good Beer Guide for 25 years. But despite being a fantastic pub the landlord is earning less than minimum wage. If the coalition is serious about localism, fiscal policy should be tailored to support local businesses like pubs, says Bob

1.30pm – The beer duty escalator is the “elephant in the room” says Peter, and a review is desperately needed. There will be devastating unintended consequences if the escalator is retained. He finishes by urging the Government to carry our the review “with all haste”.

1.26pm – Peter is arguing that the rationale for introducing the escalator in 2008 is now gone due to falling disposable incomes. Beer is becoming less affordable.

1.24pm – Peter Aldous is now on his feet to speak in favour in the motion. Doing nothing means an iconic British business will wither on the vine (or rather the hop!)

1.22pm – Pubs are more than just businesses, they are social hubs argues Albert. They’re home to local sporting clubs and offer a vital meeting space. Albert finishes by saying it’s a “nonsense” to have an escalator that doesn’t make any money for the Treasury.

1.20pm – Albert says that this motion should be supported – all it calls for is a review. The beauty of an escalator is you can stop them when the time is right, without the Government losing face.

1.18pm – Albert Owen (Labour, Ynys Mon) says he doesn’t have time in 5 minutes to name all the pubs and breweries in his constituency so he’s not going to try…

1.14pm – Demand for beer is falling – the escalator may not be the only reason but it’s certainly contributing says Caroline. We are changing our habits and giving the advantage to supermarkets. Before the escalator it was 4x cheaper to drink at home, now it’s 10x cheaper.

1.13pm – Caroline has heard from local brewers and publicans about the damage to the escalator. This is backed “such august organisations as the Campaign for Real Ale”. Not sure we’ve been called “august” before but we like it!

1.12pm – Caroline Nokes now. She says this debate is a powerful message for the Government to hear.

1.10pm – Grahame says pubs and brewing have the potential to be a vital engine of economic growth, if protected. Grahame is mentioning the 12 point plan produced by former Pubs Minister John Healey (which was supported by CAMRA)

1.09pm – Is the Government deliberately forcing up the price of alcohol to try and discourage consumption? Asks Grahame. This is a perverse policy if so and it’s certainly not working.

1.07pm – Hazel Blears says there are real social costs when pubs close and there are only a handful of pubs remaining in her constituency of Salford & Eccles. Communities should be supported where they want to take over local pubs

1.06pm – Grahame is concerned about the impact of the escalator on working mens’ clubs as well as pubs. He thinks the only way the Minister could have missed the importance of this issue is if he’s “like the Olympic flame and doesn’t go out”. That wins best joke so far!

1.05pm – Grahame hopes the Government will take the House’s concerns seriously and not ignore the outcome of today’s vote

1.05pm – Grahame Morris – Save the Pub Group vice-chair is now speaking. He’s thanking the Backbench Business Committee for allowing the debate, and opening by saying to the Minister that these arguments were made in the finance Bill by himself and other MPs

1.03pm – Alan Meale reminds the House that Britain drink 13% of EU’s beer but pay 40% of the tax

1.02pm – Alison McGovern is also speaking up for her local breweries

1.01pm – Steven is name-checking St Austell brewery and its 170 pubs. Since the escalator’s introduction in 2008 they’ve seen a 23% reduction in sales.  Countless independent and unique pubs are also struggling

1pm – Steven says the pub is the “gathering place” for communities, where people can gather to drink safely and responsibly. In Cornwall especially, pubs are part of the character of the area

12.59pm – Steven Gilbert (Lib Dem) is now speaking and wants to add his voice to all who expressed concerns about the inevitable effect of the beer duty escalator. He supports a review and fears that without it, more of his local “beautiful” pubs could be forced to close.

12.58pm – Julian Lewis is “sure” that the Government is going to be responding positively to today’s debate. We’ll see!

12.57pm – John Denham is concerned that the escalator and other Government policies could result in pubs being replaced by supermarkets – with a damaging knock-on impact to communities.

12.52pm – John Denham’s focus is pubs in his constituency that have been sold by pubcos like Enterprise to Tesco.

12.51pm – John Denham MP is now referring to the previous Labour Government which introduced the Pubs Minister post that was held by John Healey MP just before the election in 2010

12.50pm – Charlotte Leslie shouts out to “legendary” local CAMRA member in Bristol Pete Bridle! The only individual to be name-checked so far – fantastic! Well done Pete.

12.49pm – Beckenham MP Bob Stewart says Government should just abandon the escalator now. Couldn’t agree more Colonel Bob!

12.48pm – Charlotte mentions that 60% of all sales in pubs is on beer – this is why the escalator has so much of an impact on pubs. It is madness that beer sales are dropping so the escalator is not an effective policy.

12.47pm – When you think about the beauty of Britain part of that is the Great British pub. Charlotte Leslie’s first job was in a local pub – important for jobs especially among young people.

12.44pm – Charlotte Leslie, MP for Bristol North West: “27% of couples first met in the pub!”

12.43pm – Charlotte Leslie takes to the floor “the debate is important because the pub is at the heart of our society.”

12.42pm – Sandra Osborne wants more support for community pubs from Government and for them to take note of the significant number of signatures on the epetition.

12.38pm – Sandra is also quoting the BBPA’s figure that 1 million UK jobs rely on beer and pubs. This has the agreement of Heather Wheeler MP – this is about “jobs, industry and growth” she says

12.37pm – The escalator was introduced in 2008 by the last Labour Government. Sandra says CAMRA has 450 members in her constituency alone and notes that CAMRA is calling for the abolition of the escalator. She’s quoting our figure that 1/3 of a pint goes straight to the Chancellor. The Government needs to recognise the harm this is doing to pubs.

12.34pm – Sandra Osborne MP is on her feet now. This matter is of extreme importance to all our constituencies, she says. There are 86 pubs in her consttiuency, supporting 877 jobs. These pubs will be under threat if the escalator remains.

12.30pm – Bob Blackman MP: We need to prevent supermarkets from subsidising alcohol. Treasury predicts flat rate of income for next three years.

12.28pm – Jane Ellison (Battersea) is continuing the theme that we should improve planning protection for pubs. Of course we agree but let’s focus on the escalator for today!

12.27pm – Neil Carmichael highlights the “outstanding” CAMRA branch in his area. Bob Blackman agrees and is another CAMRA member!

12.26pm – Bob is concerned about the increase of “vertical drinking establishments” over traditional community pubs.

12.25pm – Bob Blackman now – starts by saying he has a passion for beer drinking! Pubs are social centres and key to local economies

12.24pm – We should nudge consumers towards drinking beer in pubs, says Iain Wright. The Government should value the pub as one of the Great British institutions – they should have a bright future.

12.22pm – The rise in VAT has also had an impact on the price of beer in pubs.  CAMRA’s figures show that VAT + duty on a pub pint come to more than £1

12.20pm – Dan Rogerson (North Cornwall), Vice-Chair of the Parliamentary Beer Group is raising the point that beer is a comparatively low alcohol product compared with wine and spirits

12.19pm – High Peak MP Andrew Bingham says microbreweries are just as important as larger regional brewers to local economies

12.18pm – Iain Wright says Cameron’s brewery (no link to the PM!) is key to the local economy and manufacturing base in his area

12.17pm – Hazel Blears is mentioning her local brewery Joseph Holts, which has been forced to close pubs because of the escalator.  She says that in areas like hers the escalator is having a particular impact as beer is becoming unaffordable

12.15pm – Iain Wright is reminiscing about a pint that Greg wants bought him in a railway station!

12.13pm Pubs Minister Brandon Lewis is answering Greg’s point on planning protection for pubs. We’ve also had the beer tie and other issues mentioned. All very important but getting a bit off-topic here people!

12.10pm – Greg is asking the Minister to look at granting business rate relief for well-run community pubs

12.09pm – This tax simply doesn’t add up, says Greg. Many Labour MPs (who introduced the policy) now agree that it’s failed. But unfortunately some who opposed it in opposition are now supporting the escalator

12.08pm – The escalator is encouraging people to drink at home as it can be as much as 10 times cheaper than pubs.  He has welcomed the Community Pubs Minister Brandon Lewis who is sitting in the Chamber and listening to the debate.

12.06pm – John Hemming becomes the first to announce that he’s a CAMRA member

12.05pm – Neil Carmichael has four breweries in his constituency and has name-checked all of them! He says breweries are a powerful reason to support this motion.  One of his breweries produces “Coalition Ale”!

12.04pm – Greg Mulholland is back. He’s delighted to be a co-sponsor of the motion today, alongside Andrew Griffiths. Greg is Chair of the Save the Pub Group and a great campaigner for pubs and beer. He’s congratulating the 104,000 e-petition signatories and CAMRA’s role in that campaign

12.02pm – Isn’t the easiest option a differential duty rate between on- and off-trade sales? asks John Leech

12.01pm – working mens’ clubs and their struggles from high beer tax are the concern of James Cunningham MP, echoed by David Hamilton. Clubs are also vital to our communities

12pm – Pubs are a controlled environment where people look after each other, compared with the home which is unregulated

11.57am – David Hamilton (Labour, Midlothian) is now speaking about the majority of pubs which are well-run. They’re not the cause of concerns over irresponsible drinking.

11.55am – Andrew Griffiths is reminding the Minister (Sajid Javid) of the number of beer and pubs in his constituency and urged him not to penalise beer drinkers any further.  He can be the man who saves Britain’s brewers, pubs and the Great British Pint!

11.54am – Andrew Griffiths has been asked by the Chair not to allow any more interventions from MPs, so he’s cracking on with his speech and highlighting that pubs suffer more than supermarkets from tax hikes

11.52am – Andrew says Britain pays 40% of the beer duty in Europe but only drinks 13% of the beer – that’s 11x the duty of a German drinker

11.50am – Sarah Wollaston MP is trying to name every pub in her constituency apparently!

11.50am – Heather Wheeler MP is mentioning her local breweries and the jobs they support. The Government should do more to protect them.

11.48am – Greg Mulholland MP is making his first of what we expect to be several contributions to this debate, talking about the duty on cider vs beer

11.47am – The Treasury’s own figures for the next three years will raise no additional revenue for the Government in the next three years – but will damage pubs and breweries

11.46am – Robert Halfon recently attended Harlow beer festival! Andrew Griffiths has commended him for supporting CAMRA

11.45am – Roger Gale says that the more you tax, the less money the Treasury makes

11.44am – a couple of MPs trying to raise Scotch whisky duty but have swiftly been reminded by the Deputy Speaker that this debate is on beer and pubs, not whisky.  Hear hear!

11.43am – Since the introduction of the escalator, beer sales have reduced by 16% – the equivalent of 1.5 billion pints. Or like 1 major brewery closing every year since 2008.

11.42am – Beer tax rises have seen the disparity between on-trade and off-trade sales increase

11.40am – Andrew Griffiths is raising the figures released by CAMRA today showing that 18 pubs are closing every week – 450 since March, and 5800 since the escalator was introduced

11.39am – Julian Huppert is saying that each pub injects £80,000 into their local economy every year, and employ a lot of young people. Andrew agrees that the majority of these pubs are SMEs

11.38am – Tony Cunningham MP is highlighting that with the huge number of pub closures, communities are suffering

11.37am – Andrew says he’s making the case on behalf of the brewing industry which has been badly served by Government policy in the past few years

11.36am – Andrew has thanked CAMRA and industry groups for their work in getting 100,000 signatures on the e-petition

11.35am – Andrew Griffiths (Chair of the Parliamentary Beer Group) is opening the debate by highlighting the number of brewers, publicans and consumers who’ll be watching the debate throughout the country. Including us!

11.34am – Speaker John Bercow highlights (in response to a Point of Order from Greg Mulholland) that he expects the Government to take note of the outcome of today’s debate and vote

11.25am – the debate should be starting any minute

11.11am - Welcome to the Beer Tax Debate Live Blog.

Dear Campaigner,

Today marks an exciting achievement for CAMRA as we gain our 100,000th signature on the e-petition calling for an end to the beer duty escalator. Thank you to all those who signed the petition and took part in the campaign. The enthusiasm and hard work from so many has meant that we are only the 12th e-petition to reach the 100k milestone. This will help us secure a high-profile Parliamentary debate.

If you haven’t yet signed the e-petition then you still can – why not help us become the largest e-petition on the site!

It’s vital we keep the pressure up with just six months to go until the next Budget. So please consider joining us on CAMRA’s Save Your Pint mass lobby on Wednesday 12th December – you don’t need to be a seasoned campaigner, we will support you all the way.

With 12 pubs still closing every week the lobby day comes at a critical time for the future of the pub.

I look forward to meeting you at Westminster alongside hundreds of your fellow CAMRA members from across the UK.

Cheers!

Colin Valentine, CAMRA’s National Chair

Mass Parliamentary Lobby announced for December 12^th- over 1,000 people expected to participate

Consumers demand an end to above inflation rises in beer tax-  www.saveyourpintlobby.org.uk

CAMRA, the Campaign for Real Ale, is today delighted to celebrate with other members of the beer and pub industry as the Government e-petition calling on the abandonment of the beer duty escalator has exceeded the 100,000 signatures needed to trigger a Parliamentary debate. The petition is only the 12^th Government e-petition – out of over 16,000 submitted – to have ever reached the 100,000 landmark.

The beer duty escalator, introduced by the last Government in 2008, and continued by the coalition, has successively penalised Britain’s beer drinkers by automatically increasing duty levels by 2% above inflation every year. As a result, tax on beer has increased by over 40% since 2008, with a third of every pub pint now being swallowed in tax. Over 4,500 pubs have also closed over this same period.

CAMRA has invested significant resources into campaigning against the beer duty escalator, and major breakthroughs in the lead up to the petition securing 100,000 signatures included over 15,000 beer drinkers adding their names to it over the course of the Great British Beer Festival, held at London’s Olympia at the beginning of August (7^th-11^th).

With a Parliamentary debate now in prospect, CAMRA is ramping up the pressure on Government by announcing it is to hold a Mass Parliamentary Lobby in Westminster on Wednesday December 12^th, with over 1,000 people expected to attend from all corners of the UK to voice their discontent at punitive tax increases on Britain’s National Drink. Attendees will be asking to speak to their respective local MPs, and seeking their support to protect the nation’s historic beer and pub industry.

Colin Valentine, CAMRA National Chairman, said:

‘Joining a very small minority of e-petitions to have ever reached the 100,000 landmark is a mammoth achievement, and it’s been fantastic to witness the beer and pub industry uniting to fight back against this issue.

‘Over the last 6 months, CAMRA has been collecting signatures at beer festivals, organising local campaigning events, as well as supplying pubs with petition material. On CAMRA’s part, we have devoted a great amount of resources to this campaign, so we are delighted this has all paid off.

‘CAMRA’s next step is not to rest on our laurels but to maintain the impetus with our Mass Parliamentary Lobby, which will reinforce to MPs the groundswell of support for this campaign. With all the battering it has taken, the beer and pub sector still manages to contribute over £21 billion a year to the UK’s GDP, and supports one million jobs, so it’s about time the Government honoured its pledge to be “pub friendly*”.’

Before the start of the festival we ensured that the campaign would be visible with an extra large banner hanging in the main hall, and with smaller banners at the glass collection and Champion Beer of Britain bar. We also placed six ballot boxes around the hall in prominent positions.

The campaign fielded its largest ever team to ensure that almost every one of the 47,500 people who visited Olympia was asked to sign the petition.

Long queues formed before the Festival doors opened each day as keen beer enthusiasts arrived early to ensure that they could be the first to sample their favourite real ale or cider. Luckily each day CAMRA staff were on hand to help collect the signatures of those waiting in the queue.

The high point of the festival was on the Wednesday when the petition hit 80,000 signatures. Our eighty thousandth signatory, Rob Bray, appeared on stage and was given a copy of the Good Beer Guide and other goodies by CAMRA’s chairman Colin Valentine.

He described how it felt to be the 80,000^th signatory:

‘It was good to meet the CAMRA people and it made the Great British Beer Festival even more memorable. I hope Alan at my old local the Victoria Inn in Northampton has a laugh when he sees me in the magazine’.

 He also acknowledged the importance of the petition by stating:

‘As an occasional but enthusiastic pub drinker I want to do my bit to help preserve traditional, local pubs.  They’re a vital part of British life and mustn’t be squeezed out of existence by increasing and disproportionate costs.’

We may have had our best ever response at GBBF but that certainly doesn’t mean that we’re finishing there. We will be attending Worcester and Peterborough beer festivals over the coming weeks and we will continue to push towards our goal.

At last count we only require 17,000 signatures to reach the 100,000 signatures to trigger a debate in the House of Commons. If you haven’t already, we urge you to sign the e-petition and get your friends and family to do the same.

The country is celebrating Team GB climbing up the medal table in pubs across the country. Meanwhile CAMRA is preparing for a whole different kind of celebration as we gear up for the Great British Beer Festival.

It will be the biggest beer festival in the UK having returned to Olympia and will be open from 7^th – 11^thAugust. With over 800 real ales, ciders and foreign beers available we are expecting over 50,000 people to attend. With entertainment at the festival ranging from a world record attempt to the now legendary ‘Hat Day’ the festival is guaranteed to entertain all those that attend.

While we expect everyone to have a great time we aren’t forgetting the campaigning side of our organisation. We have been to beer festivals all around the country from Edinburgh to Ealing asking people to sign our e-petition against the beer tax escalator. We have received a great response from both members and the public and have reached over 71,000 signatures.

We hope that we will be able to collect thousands of signatures over the course of the GBBF festival and bring the campaign ever closer to reaching our goal of 100,000 signatures which will force Parliament to hold a debate on this critical issue. Hopefully the size of our banner in at Olympia will ensure festival-goers know about the campaign! (pictured).

We hope to see you there.

The British Beer and Pub Association and the Campaign for Real Ale say the average bill has risen by £18,000, up 38%, since the Government’s beer duty escalator was launched in March 2008.

An e-petition calling for a halt to the escalator already has the support of more than 66,000 people.

It is hoped the campaign will secure the 100,000 signatures needed to secure a debate in Parliament.

CAMRA chief executive Mike Benner said: “There is no greater common ground than the fight to end the beer duty escalator, a punitive measure that has been of huge detriment.”

Every year the tax escalator increases the tax on beer by two per cent above the rate of inflation.

The petition is calling for the escalator to be moved at the next budget to help pubs.

It reads: “Removing the beer duty escalator at the next budget will help keep beer more affordable and go a long way to supporting the institution that is – the great British pub.”

The petition can be found at http://epetitions.direct.gov.uk/petitions/29664/?friendly_id=saveyourpint

Dear Chloe Smith,

How many more pubs do you want to see close? I was prompted to ask the question following your intervention in a debate in parliament this month when MPs representing constituencies with breweries raised their concerns about high levels of beer duty.

Andrew Griffiths, the member for Burton and chairman of the Parliamentary Beer Group, singled out the particular problem of the Beer Duty Escalator, which automatically increases duty in the annual budget without recourse to parliament.

Your reply was breathtaking. “The duty increase forms a vital part of the government’s plan to tackle the debt left by the previous government. It would be worse for everybody if we did not tackle that debt. I mean beer drinkers, cider drinkers, spirit drinkers, wine drinkers, brewers and publicans.”

Worse? It’s difficult to see how things could be worse for beer drinkers, brewers and publicans than they are at present. Since the duty escalator was introduced by the Labour Chancellor Alistair Darling in 2008, beer duty has increased by 42%. Between 2009 and 2012, 4,500 pubs closed. You may consider there is a connection between these two statistics.

The life is being squeezed from British breweries and pubs as a result of punitive taxes paid on beer. Here are some facts produced by the British Beer & Pub Association (BBPA) and the Campaign for Real Ale (CAMRA) about the levels of beer duty levied in Europe. For every pint of 5% beer, the amounts are as follows:

Ukraine 4p; Germany 5p; Spain 5p; France 7p; Czech Republic  8p; Portugal 12p; Croatia 14p; Russia 14p; Italy 14p; Greece 15p; Netherlands 16p; Denmark 17p, Ireland 39p; Sweden 47p and…Britain 55p.

Yet, in the debate, you said the tax on beer in Britain was not “an overwhelming or unreasonable amount”. You bring a whole new meaning to the word “unreasonable”.

It beggars belief that you feel beer drinkers, brewers and publicans should foot the bill for the economic problems allegedly created by the previous government. This is neither the time nor the place to discuss who was responsible for the economic disaster that hit the world in 2008. But it certainly wasn’t drinkers who would like to visit their pubs for a few pints of bitter without extending their bank overdrafts before they leave home.

To put the plight of British beer drinkers into even sharper focus, here’s another startling fact: duty in Britain accounts for 40% of all the beer taxes levied within the European Union, yet the British consume only 13% of all the beer brewed and consumed in the EU.

In short, Miss Smith, brewing and pub retailing in Britain is being driven to the edge of the cliff as a result of government taxation. You made the startling claim in your response to MPs that “the government would lose £35m in 2013 if the escalator was cancelled”. I would be interested to know how this figure was arrived at: it sounds like an example of what your government colleague Dr Vince Cable used to call “voodoo economics” when he was in opposition.

The reality is that the government loses far more than £35m every year as a result of the impact of the eye-watering levels of duty and VAT levied on beer, brewing and pub retailing. Every time the government increases duty, fewer people go to the pub. When the consumption of beer goes down, less duty is paid to the Treasury. The same holds true for VAT.

When a pub closes, you lose the VAT paid on food and drink in that outlet.

Employees who lose their jobs will no longer pay income tax. On the contrary:  the government will have to pay them unemployment benefit. Perhaps you could ask the Treasury to analyse how much income – in the form of duty, VAT and employment taxes — has been lost in the period 2009-12 which saw 4,500 pubs close.

In the past 10 years, the consumption of all forms of alcohol in Britain has fallen by 20%. Some of that decrease may be accounted for by life-style changes, but a substantial proportion is the result of people being priced out of the market.

Your government promised to be “pub friendly” when it came to office. It has been nothing of the sort. By continuing to operate the escalator, you are forcing pubs to close. Your prime minister believes in the Big Society but such a society will wither on the vine if pubs, at the heart of their communities, go out of business.

Both your prime minster and home secretary have encouraged people to drink in pubs, where alcohol is consumed moderately and sensibly. But it’s a hollow objective if pubs are driven out of business as a result of ruinous levels of duty and VAT.

Beer taxation is not “reasonable”, Miss Smith. On the contrary, it’s killing the British pub. It’s time for a U-turn.

Yours sincerely,

Roger Protz

*This article first appeared in the Publican’s Morning Advertiser, 12 July 2012.