Pub customers in England face 'unwelcome' change at tills

Pub customers in England face 'unwelcome' change at tills
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The price of a pint could rise by 20p, a major pub chain boss has warned. The comments come in the wake of the new Labour Party government's Budget tax raid which was confirmed by Chancellor Rachel Reeves back in October last year.

Simon Dodd, chief executive of Young's, said the chain plans to hike its prices by between 2.5% and 3% because of increased costs. Mr Dodd said the upcoming NIC hike will add around 20p to the cost of a pint sold at £6.30 in London to £6.50.

Mr Dodd said: “We’ll mitigate as much as we can of the NI contribution – we’ll do that through efficiency, we’ll do that through investing in our pubs. But there will be some price passed on to the consumer."

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He added that any price rises would be "sensible" so as not to lose too many customers. He said: "I’m not going to say anything about the Government, because they have a tough job – although it’s not helpful." The London-based business told shareholders it had ‘traded exceptionally well’ over the period as drinkers shrugged off high rental and mortgage costs.

Total managed revenues were up 30.4 per cent for the five weeks to January 13, with like-for-like sales up 11.6 per cent. Sales across Christmas Eve, Christmas Day and Boxing Day were up 10.5 per cent year-on-year.

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Shares closed up 1.68 per cent, or 14p, at 846p. Wetherspoons boss Tim Martin has also said: "Cost inflation, which had surged to high levels in 2022, gradually diminished over the subsequent two years. However, it has now significantly increased again following the budget.

"All hospitality businesses, we believe, plan to increase prices, as a result." Wetherspoons and Youngs both operate pubs and boozers up and down the country, including here in Birmingham.