Major pub chain confirms 10p price hike on pints following budget tax raid
17 December 2024, 16:02
A major pub chain with more than 1,550 sites has increased drink prices following tax hikes announced in the autumn budget.
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Marston’s has raised the price of draught beer across its pub estate, with drinkers facing paying about 10p more for a pint.
Although, due to regional pricing, the increases have varied across the country.
The changes come following the government's decision to increase business national insurance contributions and the national living wage.
A Marston's spokesperson said: "This is not a decision we’ve taken lightly but, as has been widely reported, the cost of doing business is increasing across the sector.
"At Marston’s, we pride ourselves on offering great value and experiences for our guests every day of the week, and our teams are working hard to minimise the impact of external pressures on our customers and pub partners."
In its latest preliminary results, the company said it had made £42.1m in profit before tax, which was an increase of 64.5% on last year.
However, it warned that the autumn budget had put some "additional pressure on costs" after the government announced increases to business national insurance contributions and the national living wage.
The rise in prices come despite chancellor Rachel Reeves cutting draught duty by 1.7%, which she said would mean "a penny off a pint in the pub".
Since the budget, many businesses have shared their concern that cost pressures could be passed on to customers.
Those anticipating increased prices include Greggs, Toby Carvery owner Mitchells & Butlers and Wetherspoon as well as retailers Currys, Sainsbury's, Tesco and Asda.
Chief executive officer of Fuller's Simon Emeny has said the price of beers at its hotels and pubs would likely rise by 10p following the budget, according to reports.
Wetherspoon boss Tim Martin has also said the group would try to stay competitive on costs for customers but warned customers to expect some increases.
