Local MP Marcus Jones has spoken with passion in a parliamentary debate he secured about the beer duty escalator, which he is urging the Government to scrap at the forthcoming budget.

The beer duty escalator was introduced by the Labour Government in 2008, and is currently in place until 2014/15.  It means that beer duty is automatically increased by 2% above inflation every year, which has meant that tax on beer has increased some 42% since its inception.

There are growing fears that further increases in beer duty was put many local pubs out of business – the industry contributes £10 billion a year in duty and VAT, and over £21 billion to the UK’s GDP. In Nuneaton alone, the sector accounts for 1,441 jobs, employing 431 young people. It also contributes £33.7 million in gross value added to the local economy.

In Nuneaton over the past few years a number of local pubs have had to put the towels on for the last time, including the Fox and Crane, The Graziers Arms and The Boot Inn, not to mention the many social clubs that have also ceased to exist. Notwithstanding the financial benefit of the beer and brewing industry, Marcus argued during his speech that pub closures are having a detrimental effect on the fabric of our society, due to the high social impact when a pub closes. Marcus also argued that pubs offer a unique leisure experience, are a great addition to the social fabric of our country and are often at the heart of our local communities; they are akin to community centres for their areas.

Speaking about the debate, Marcus said: “I was pleased to have secured the Adjournment Debate. I know that there is a great deal of concern in the industry and from the wider population about the amount of tax paid on beer.

“The cost of living is a huge issue for many people so this debate has a very serious dimension. Over the last five years or so growth in incomes has been flat and well below the increase in the cost of living. For many people a trip to their local for a pint is becoming increasingly unaffordable. Pubs are great places to meet friends and to make new friends; indeed I met my wife in The Chetwynd Arms back in 1997. One of my first part-time jobs was also behind a bar, during which I gained people skills which served me well during my career and continue to do so as a Member of Parliament.”

Adding, Marcus said: “The beer duty escalator is a disproportionate tax which is damaging the beer and pub industry, costing many of our communities their local pubs and the jobs that they sustain.”

Whether the campaign to have the escalator scrapped by the Chancellor is successful or not will be announced during the Budget on the 21st March.