The Forum of Private Business is warning that government proposals for a late night levy will not tackle UK drinking culture but degrade high streets and small independent traders.
According to the forum, hardest hit will be pubs already struggling. Many of which have introduced daytime and evening meals to their offer in order to survive.
The forum has written to Lord Henley, who has been appointed by government to conduct a consultation exercise looking at the controversial proposals. It argues that any such levy would be a stealth tax against business, and in the letter argues that it also flies in the face of the Department for Business, Innovation and Skills’ (BIS) moratorium on new regulations for small business.
The not-for-profit business support group is opposed to the levy concept and believes it runs contrary to the recommendations of the recent Portas Review, a report which makes the case for town centres to once more become a focal point of the communities they serve.
Chief executive at the Forum of Private Business Phil Orford, said: “It’s a huge irony that last week communities minister Grant Shapps wholeheartedly embraced the contents of the Portas Review…yet on the other hand we have a government plan taking shape to introduce a new stealth tax which directly targets high street businesses. It’s hardly joined-up thinking….We would also say this goes against the moratorium by BIS for new regulations for small firms. The government argues it is business friendly, but then sends out a completely different message.”
The forum also argues that other methods should be used to address UK drinking culture. “The forum believes imposing a levy is not the best way to deal with the issue of late night drinking either,” said Orford. “Drinking culture is a complex issue, and won’t be solved simply by crudely levying extra taxes on firms which is a sticking plaster approach at best.”
In his letter to Lord Henley, Orford calls for government to encourage councils and local communities to develop voluntary schemes and initiatives.
“Crime is a concern for small businesses as well as local authorities, so it would be in their interest to work in partnership with local communities,” said Orford.
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