More than one pub is anticipated to shut down each day this year, leading to over 5,600 job losses, as per a warning from an industry association.
The British Beer and Pub Association projects the closure of 378 pubs in 2025 across England, Wales, and Scotland, in addition to the 350 pubs lost last year.
This trend would reduce the total number of pubs to approximately 44,600, marking the lowest count this century, with more than 22,000 pubs shutting down over the past 25 years. The “Your Pub Needs You” campaign by the Daily Mirror aims to raise awareness of the challenges faced by local pubs.
The BBPA’s somber outlook coincides with its call on the government to revamp business rates for the sector. Emma McClarkin, the association’s chief executive, emphasized the financial struggles faced by pubs, stating that high operational costs often prevent them from turning a profit, ultimately leading to closures and job losses.
The association urges the government to initiate meaningful reforms in business rates, alleviate the rising costs of employment and extended producer responsibility, and reduce beer duty to support the struggling pub industry.
Furthermore, the BBPA highlighted that pub closures would have cascading effects on various sectors within the supply chain, including farmers, brewers, and other related industries.
While the Labour party plans to reform the current business rates system and issue an interim report soon, the government’s reduction of property tax relief from 75% to 40% post-Covid has resulted in significantly higher bills for hospitality, retail, and leisure businesses.
Additionally, the BBPA warned earlier this year that the average price of a pint of beer in the UK could exceed £5 for the first time due to cost escalations affecting the sector, leading to an expected rise of about 21p per pint.
In a different scenario, a survey revealed that pharmacies and Post Offices are considered the most crucial services in communities, with pubs contributing significantly to the local economy. Conversely, vape shops, pawnbrokers, and fast-food outlets are rated least favorable by respondents.
Conducted by the Association of Convenience Stores, the survey of 2,000 individuals produced a Community Barometer indicating the importance of essential services and local economic support.
James Lowman, the association’s chief executive, emphasized the need for crucial services like banking, prescription collections, and Post Offices, many of which are already integrated within convenience stores, to meet the community’s demands effectively.