Norfolk brewer calls on Chancellor to cut production costs for hospitality
It's comes ahead of the Government's spring statement- just over a month after alcohol duty rose by nearly 4 per-cent
A local brewer is calling on the Chancellor to cut production costs for small hospitality firms.
This comes ahead of Rachel Reeves' spring statement and after Ministers announced a support package for pubs. While alcohol duty rose by nearly 4 per-cent last month.
"So empower us to help you grow and then we all win"
David Holliday is from Moon Gazer Ales based near Fakenham:
"We've got close to a million people under the age of 24 years old that are now unemployed, and a large chunk of that is coming from the hospitality sector.
"We are a sector that would traditionally absorb that and give young people career paths. So it's not just the case of somebody saying they want to be a bar person, this line of work can lead to managerial jobs to directorship jobs.
"We are seeing busy places but it's all about converting that into bottom-line profit and the Government needs that as much as the sector.
"So, it's not a case of the sector whinging about the fact that we need to make more money, it's more the case that it makes up 20% of the national economy. So empower us to help you grow and then we all win.
He wants a cut in VAT for the sector:
"It would have an immediate cash impact into the hospitality sector. It's not something that would lead to cheaper prices immediately, but it's something that would help generate this in the longer term and create wider confidence"
An overview of the hospitality sector, on-going challenges and what's been done to tackle them:
According to data published by the British Beer and Pub Association (BBPA), there were approximately 45,000 pubs in the UK in 2024. The total number of pubs decreased from 60,800 in 2000 to 55,400 in 2010 and 45,000 in 2024.
There were 2.6 million jobs in the hospitality industry in the UK in September 2025, which was 7.1% of all jobs in the UK. This means that hospitality was the sixth largest of the main sectors in the UK, in terms of number of job
In November 2025, energy prices were still a significant concern for hospitality businesses; 17% of hospitality businesses said they were the main concern for their business, compared with 6% of all businesses
Falling demand for goods and services was the main concern for 19% of hospitality businesses.
In January 2026, the Government announced an additional 15% business rates relief for 2026/27 for pubs and live music venues.
In 2027/28 and 2028/29, increases in their rates bills will be capped in line with inflation.
{Source: House of Commons Library)