A punishing tax system is forcing UK pubs to close at a rate of 18 a week, the Campaign for Real Ale (CAMRA) said today.
What it means: Pubs have to pay three types of
: The UK has one of the highest rates of 'beer duty' – a tax paid on any type of beer over 1.2% alcohol; then there's VAT – a tax paid when you buy stuff; and finally something called business rates – paid on the value of a property you run a business from. CAMRA says a third of the cost of a pint you might buy in a pub is just to cover the taxes.
According to the government, the alcohol industry makes an "important economic and cultural contribution to the UK". In other words, we spend a lot of money in pubs, so we should probably try and keep them open. CAMRA's calling for the taxes to be lowered to reduce the 'burden' on businesses.