WITH the beer tax punishing pubs and hospitality venues across the country with increases twice a year, every year, smaller venues and customers are paying the price.
Fiona Cox, co-owner of the Poowong Pub with partner Ben Hall commented that twice a year they get slammed with the tax and they warn their customers in advance of the increase, so they don’t get a shock.
“It’s just a constant. Twice a year. You’ve got so many different taxes now. You’ve got wet tax, which is your wine equalisation.”
Not only does the small country pub pay the third highest tax on beer in the world, but they also pay a 29 per cent wet tax on their wine.
While the publicans try to absorb the costs as much as they can, with insurance, electricity, and wages all increasing over the past couple of years, it’s tough.
“You try and keep your wage costs down and you’re trying to keep everything down. We do a surcharge on public holidays, but you have to because there’s a huge increase in staff wages.”
These costs and the ever-increasing ‘sin’ tax on alcohol, have the Brewers Association of Australia predicting that pubgoers could be paying $15 or more for the price of a pint very soon.
Poowong pub’s beer prices are on par with other country pubs dotted around the region.
A pint is priced at $12.80, and this will continue going up twice a year, as it has done for the past 35 years.
“But we’re lucky,” said Fiona, “We’ve still managed to keep a schooner to about $9.”
Both the Independent Brewers Association (IBA) and Australian Hotels Association (AHA) have called on the Federal Government to do more and to take decisive action to help the industry.
“There has to be some give through the government. They need to actually start meeting with these small operators,” said Fiona.
“Because a lot of the bigger operators are able to absorb a lot of it through the TAB and the pokies.”
“We pride ourselves on being very much a country pub. We don’t have TAB, we don’t have pokies. It’s back to just talking to people.”
The excise on beer and spirits this financial year alone is predicted to be nearly $8bn.
Meanwhile, the cost of living is hurting just about everybody, including the eleven million beer drinkers.
While the flow-on effect hasn’t yet been too evident in their historical pub due to a steady rate of customers and holding small regular events and specials nights, Fiona says she will keep warning her customers twice a year of the increase.
