The average price of a pint is up 9% compared to last year, figures show, as the cost of living crisis hits pubs and breweries.
The average costs for pubs and brewers were up 22% at the end of the summer – before the colder months brought with them increased heating bills and rising inflation.
Rising costs are forcing businesses to pass on the costs to customers at the bar.
According to figures from the Office for National Statistics, those who drink bitter will be worst affected, with the price up by 8.97% in the last year (from £3.80 to £4.13).
The cost of lager is also rising, with an increase of 8.68% (from £3.23 to £3.52).
These price hikes are causing many consumers to stay away, and now beer sales are down 10% in the same period last year.
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It means more than 50 pubs a month are now closing, compared to around 30 a month last year.
Prices changing ‘100 to 200% from one week to the next’
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Abbie Marshall, the owner of Buck Inn in Thornton-Le-Dale in North Yorkshire was forced to put her beer prices up by 10% to try and tackle the uncertainty around prices.
“On food, from one week to the next, vegetables, meat whatever it may be, can change by 100 to 200% in a matter of weeks,” she told Sky News.
“We are constantly repricing, but it’s difficult because whilst we don’t want to pass on all the costs to our customers, we can’t keep absorbing the cost increases.”
Her pub’s energy bills have more than tripled, rising from £20,500 every year to an annual cost of £64,500.
Image: Abbie Marshall, owner of Buck Inn in Thornton-Le-Dale in North Yorkshire
A fine line to tread
Despite seeing her own expenses soaring, Ms Marshall said she was reluctant to pass on too many expenses to her customers.
“We are getting very close to the glass ceiling,” she said.
“And that is ceiling is where I know I won’t be able to raise my prices anymore because it will be prohibitive and alienate some parts of the community.
“I know I would alienate about 30% of my customers.”
But she said predicting what will happen has been the hardest – “You make a forecast for the business, and then six weeks later that forecast is obsolete.”
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The Financial Crisis: Explained
Calls for chancellor to freeze beer duty on Thursday
The British Beer and Pub Association is calling on Chancellor Jeremy Hunt to announce a beer duty freeze in his autumn statement on Thursday.
The organisation said a failure to do so would take the tax to its highest ever historical record at a time of severe pressure for the industry, but reinstating would channel £360m back to pubs and breweries
Emma McClarkin, its chief executive, said: “We are caught in an extremely vicious circle, customers are understandably being cautious, but the cost of doing business is out of control and as a result, this is set to be the toughest Christmas on memory for UK pubs and brewers.
“Many just managed to pull through the pandemic, but what we are facing now is crippling businesses at an unprecedented rate.
“We need the beer duty freeze reinstated to alleviate at least some of the cost pressure on our pubs and brewers and to avoid undermining the crucial alcohol duty reform measures to be implemented in 2023.
“The last thing these pubs want to do is put prices up for customers who are struggling themselves with the cost of living, they want to provide a warm and welcoming space for their communities, especially in this acutely difficult time, but without relief from the government it’s difficult to see how many will continue to do so.”
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Rachel Reeves has hinted that taxes are likely to be raised this autumn after a major U-turn on the government’s controversial welfare bill.
Sir Keir Starmer’s Universal Credit and Personal Independent Payment Bill passed through the House of Commons on Tuesday after multiple concessions and threats of a major rebellion.
MPs ended up voting for only one part of the plan: a cut to universal credit (UC) sickness benefits for new claimants from £97 a week to £50 from 2026/7.
Initially aimed at saving £5.5bn, it now leaves the government with an estimated £5.5bn black hole – close to breaching Ms Reeves’s fiscal rules set out last year.
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Rachel Reeves’s fiscal dilemma
In an interview with The Guardian, the chancellor did not rule out tax rises later in the year, saying there were “costs” to watering down the welfare bill.
“I’m not going to [rule out tax rises], because it would be irresponsible for a chancellor to do that,” Ms Reeves told the outlet.
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“We took the decisions last year to draw a line under unfunded commitments and economic mismanagement.
“So we’ll never have to do something like that again. But there are costs to what happened.”
Meanwhile, The Times reported that, ahead of the Commons vote on the welfare bill, Ms Reeves told cabinet ministers the decision to offer concessions would mean taxes would have to be raised.
The outlet reported that the chancellor said the tax rises would be smaller than those announced in the 2024 budget, but that she is expected to have to raise tens of billions more.
Sir Keir did not explicitly say that she would, and Ms Badenoch interjected to say: “How awful for the chancellor that he couldn’t confirm that she would stay in place.”
In her first comments after the incident, Ms Reeves said she was having a “tough day” before adding: “People saw I was upset, but that was yesterday.
“Today’s a new day and I’m just cracking on with the job.”
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“In PMQs, it is bang, bang, bang,” he said. “That’s what it was yesterday.
“And therefore, I was probably the last to appreciate anything else going on in the chamber, and that’s just a straightforward human explanation, common sense explanation.”
The family and friends of Diogo Jota and his brother Andre Silva have been joined by Liverpool stars past and present and other Portuguese players at the pair’s funeral near Porto.
Pictures below show the funeral at the Igreja Matriz de Gondomar church in the town of Gondomar near Porto. Click here for our liveblog coverage of the day’s events.
Image: Diogo Jota’s wife Rute Cardoso arrives for the funeral of him and his brother Andre Silva. Pic: Reuters
Image: Liverpool players Virgil van Dijk and Andrew Robertson arrive for the funeral. Pic: Reuters
Image: Van Dijk carried a wreath with Jota’s number 20 while Andrew Robertson’s had a 30 for Andre Silva. Pic: Reuters
Image: Liverpool captain Virgil van Dijk. Pic: Reuters
Image: Portugal player Ruben Neves arrives at the funeral. Pic: PA
Image: Liverpool’s Joe Gomez and manager Arne Slot arrive at the funeral of Diogo Jota and Andre Silva. Pic; PA
Image: Liverpool’s Ryan Gravenberch and Cody Gakpo (right) arrive at the funeral of Diogo Jota and Andre Silva
Image: Manchester City and Portugal player Bernardo Silva arrives at the funeral. Pic: AP
Image: The coffins are carried to the church. Pic: PA
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Miguell Rocha played with Jota for around ten years with Gondomar Sport Clube in Portugal.
Image: People line up to enter the church. Pic: AP
Image: Pallbearers carry the coffins of Diogo Jota and his brother Andre Silva
Image: Pic: Reuters
Image: Pic: AP
Image: People gather outside the Chapel of the Resurrection. Pic: Reuters
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The former captain was seen wiping away tears as he read messages and laid his tribute down.
Image: Fans pay their respects outside Anfield in Liverpool. Pic: Reuters
Image: A board with a picture of Diogo Jota outside Anfield Stadium. Pic: PA
Image: The coffins are carried to the church. Pic: PA
Britain’s most notorious gangster and the detective who pursued him have been involved in a bizarre confrontation…at a charity lunch.
Former Detective Superintendent Ian Brown was at a Kent golf club and about to give a talk on the infamous £26m Brink’s-Mat gold robbery when he was summoned from the stage by officials.
Mr Brown, who appeared on the award-winning Sky News StoryCast podcast The Hunt For The Brink’s-Mat Gold in 2019, said: “I go outside and they say ‘he’s here’ and I say ‘who’s here’ and they say that table over there in the corner, that’s Kenny Noye with a baseball cap pulled down over his head.”
Noye stabbed to death an undercover policeman during the Brink’s-Mat investigation, but was acquitted of murder, though he was jailed for handling the stolen gold.
Mr Brown, 86, said: “I went over to him and said ‘thanks for coming, nice of you to pop in’, but I don’t believe you’ve turned up with your sons and grandkids to listen to me telling how you killed a police officer.
“And he said ‘I want to make sure you don’t say I’ve been dealing drugs’ and I said ‘I’ve never said that Kenny’.”
The retired detective told Noye he wasn’t going to change his presentation just because he was there.
“He said ‘mate, I wouldn’t expect you to and I’ll come up [on stage] if you want me to’.
“Can you think how he’s turned up with his family to listen to somebody talking about you killing the police? Now, you put logic on that.”
The bizarre story emerged when I rang Mr Brown after I’d been told about the meeting.
Image: A Sky News podcast told the story of the Brink’s-Mat heist in 2019
I also wanted to ask him about the recent BBC hit drama series The Gold which retold the story of the Brink’s-Mat heist at Heathrow Airport in 1983.
“It was an absolute shambles, far too much dramatic licence and the real story was so much better,” said the ex-detective, whose job had been to follow the trail of the 6,800 gold bars to the US and the Caribbean.
He said he chatted to one of the show’s writers for a long time in a phone call but then heard no more.
“They invented people, changed a bit here and there and made it politically correct in so many ways. I’m just very sad that that is what people will believe.
“And I couldn’t work out who my character was supposed to be. I could have been one of the female cops.”
He also criticised the portrayal of Noye, now 78, as a likeable jack-the-lad character when the truth about the double killer with a volatile temper was quite different.