Major trade organisations in the brewing industry have penned a letter to the government, calling for officials to provide “urgent clarity” on the proposed support for businesses amid rising energy costs.
The letter was spearheaded by groups including the British Beer and Pub Association, The Society of Independent Brewers and Campaign for Real Ale. It comes following prime minister Liz Truss’s announcement that businesses will be entitled to a six-month support scheme in line with an Energy Price Guarantee for consumers.
Describing the energy cap as a “critical lifeline”, the letter continued: “More is needed to ensure businesses can head into winter knowing they have the chance to not only survive but thrive again.” It warned that businesses, including the hospitality sector, need urgent clarification on a long-term support plan as many debate whether they can survive the winter.
Looking beyond the six-month scheme, the trade groups called for a cancellation of business rates for the remainder of the fiscal year. The letter also urged the government to go ahead with an alcohol duty reform in order to reduce taxes on the “already fragile” beer industry.
The letter concluded: “An energy price guarantee for business will provide some short-term relief for businesses on the brink of closure, but more support is needed, as well as a plan beyond the next six months.
“We need policies that ensure our survival through the winter which will allow us to invest in the long-term potential of our sector, action on the tax burdens that are stunting our growth and a government that understands the extremely critical situation we’re currently in.”