Adnams slams Government for denying hospitality jobs to younger generation

By Peter Ruddick

- Last updated on GMT

Related tags: Public house

Suffolk-based brewer and pub operator Adnams has criticised the Government for denying young people hospitality jobs because of its policies towards the industry
Suffolk-based brewer and pub operator Adnams has criticised the Government for denying young people hospitality jobs because of its policies towards the industry
Government policies such as the alcohol duty escalator and proposed beer bottle tax stamps are contributing to youth unemployment by indirectly denying young people jobs in the hospitality industry, brewer and pubco Adnams says.

The Suffolk-based company made the accusation in its interim financial report which revealed Adnams had experienced a 5.1 per cent improvement in turnover in the first half of the year translating into £857k operating profit.

However sales in some of its pubs with beer gardens were down due to the weather.

Denied jobs

Although chairman Jonathan Adnams reported the beer and pub business 'had a good six months', he said the continued above-inflation tax rises on alcohol were impacting pubs, brewers and customers.

"The government seems to be intent upon continuing its misguided policies regarding beer duty," the chairman argued.

"Pubs are important employers and this policy has also imposed a cost on many of our unemployed younger generation who are being denied the jobs that they might otherwise have had in the hospitality industry."

Adnams also criticised plans to introduce tax stamps on every bottle or can of beer​ as a 'costly imposition' when increasing UK duties were leading to an 'inevitable' rise in cross-border fraud.

Managed

The company, which operates two hotels and manages two more on behalf of the Norfolk Holkham Estate, said its two properties had found trading tough due to the economic conditions and the poor weather.

"We have sought to ensure that the hotels achieve the premium room rates that they warrant whilst maintaining levels of occupancy. Overall the contribution from our hotels was 3 per cent behind last year," Adnams said.

Turning to the performance of its pubs, the operator welcomed few changes amongst its licensees in the period while revealing its brewing arm was seeing a movement of sales to managed pubs from leased and tenanted venues.

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