Thursday, 08 January 2009

One in eight Cumbrian pubs could shut in credit crunch

ONE in eight pubs in Cumbria could close as a tidal wave of tax hikes, supermarket competition and the credit crunch swamps the industry.

af suede
Shut: Suede, on The Crescent, Carlisle, has closed

That’s the view of real ale campaign group Camra.

Philip Tuer, its Solway branch pubs liaison officer, said the cumulative effect of the smoking ban, cheap booze in shops and the collapse in consumer spending could see dozens of county pubs fold, changing the fabric of county life forever.

He said: “Even before the credit crunch arrived, the smoking ban was putting pubs under enormous pressure.

“Working men’s clubs in particular are being hit. Just about every one in Carlisle is suffering.

“Country pubs are also struggling. We went out last Friday and every pub we went in said it was quieter than the usual Friday night.

“Even town centre pubs in places like Botchergate are suffering.

“If you go down there on a Friday or Saturday night, hardly any pubs are full and on some nights they are just not opening at all.

“Freehold pubs might escape it because they can negotiate cheaper deals with suppliers on beers and spirits, but tied pubs will really struggle because they are forced to buy from the company that owns them.

“When you think some of these pubs pay £1,000 a week, plus £1,000 more on staff costs and overheads, that’s £2,000 to find before they even open the door.

“It is impossible to compete with supermarkets who sell drink at a loss. If you can get a can of beer for a £1 in a supermarket, why would you pay £2.50 in a pub?

“A lot of Cumbrian pubs will go, especially in places with a lot of competition, and it will damage communities.

“Pubs are not just businesses, they are community assets, where people can socialise, deals are done and a lot of money is raised for charity.”

Camra is calling for Chancellor Alistair Darling to introduce radical measures to help in today’s Pre-Budget Report.

It wants: a reduction in VAT; an investigation into the feasibility of a reduced rate of tax on beer sold in pubs; and a minimum price per unit of alcohol to prevent alcohol being sold at a loss in shops.

Problems in the licensed trade have seen pubs around Cumbria shutting in recent months.

Carlisle has lost bars including Suede, in The Crescent, and Mood2 in Botchergate, while the Dovenby Ship, near Cockermouth, and the Greyhound in Bothel have also been forced to close their doors.

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