Overview
- New BII polling of 205 landlords reports 90% expect to raise drink prices, 71% plan food price increases, 45% may cut trading hours, and 41% could reduce services.
- UKHospitality estimates an average pub will pay about £12,900 more in business rates over three years, with some bills rising by up to 76% despite Transitional Relief within a £4.3bn package.
- The Budget confirms alcohol duty will be uprated with RPI on 1 February 2026, and the National Living Wage will increase from April 2026 to £12.71 for workers aged 21 and over.
- Local pubs show mixed immediate responses, with several Watford-area venues holding prices for now, one planning increases limited to happy hour, and others deferring decisions to brewery owners.
- A finance analyst using BBPA figures says a £5 pint can leave roughly 13p net profit after taxes, wages, rates and overheads, underscoring already thin pub margins.