Labour's belated pub crawl: Reeves and Starmer have shown they couldn't organise a booze-up in a brewery, says ALEX BRUMMER
Britain’s public houses are one of its crowning glories.
They are not just where Reform leader Nigel Farage can be found hanging out; they are where Treasury officials gather after a heavy day – and provide great photocalls when Prime Ministers entertain foreign leaders.
Given this background, it is extraordinary that Chancellor Rachel Reeves and her senior Treasury officials didn’t look more closely at how changes in rateable values, on top of rising employment and energy costs, could destroy an already listing national treasure.
Pubs had been closing at the rate of one a day in 2025. It is astonishing that an already unpopular Government would even think about loading up rateable values on such popular venues, in some cases doubling or trebling them, for relatively little gain.
It is a signal of the Government’s weakness that direct action by affected groups is proving so effective.
The tractor protests and continuing pressure from small firms saw it propose a substantial increase in inheritance tax (IHT) relief for family landowners and businesses.
Last orders: Pubs have been closing at the rate of one a day in 2025 as they struggle with soaring costs
Leaks from Whitehall suggest a package of assistance for landlords, including longer licensing hours, in response to the ‘No Labour MPs’ notice for senior politicians.
The reversal on pubs has been greeted with relief by the Campaign for Real Ale and other parts of the beerage.
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UK Hospitality rightly urges an industry-wide approach which helps everyone including cafes, restaurants, and hotels.
A Government which spends so much time leaking possible tax changes should better understand the consequences of its actions.
It made a series of blunders from its first month in office when it abolished the winter fuel allowance – later restored.
Since then, there have been reversals on welfare reforms, and tinkering with IHT and rateable values. All these policies should have been properly road tested. We have become used to poor governance.
But Keir Starmer, Reeves and company have taken incompetence to a new level, hurting vulnerable pensioners and businesses along the way.
Food for thought
Visitors to Marks & Spencer stores in the aftermath of Christmas would quickly divine something unusual has been taking place.
When Next reported this week, it notably referred to a strong lift in revenues for full-price sales as the driver for a profits upgrade.
Quite a contrast to M&S where shoppers for clothing – both women and men – are currently greeted with serried racks of unsold sales merchandise defying the group’s efforts at quality image.
Given M&S’s cyber difficulties earlier in the year, markets and analysts are willing to give chief executive Stuart Machin and his team the benefit of the doubt.
The recovery from the systems hack may cast a shadow. And unusually warm weather until the holiday season and consumer anxiety because of the late Budget played a part.
Blushes have been spared by a sharp jump in same-store food sales by 5.6 per cent, fuelled by innovation, fresh foods and a focus on quality.
It is also encouraging for loyal investors that the expensive joint venture with Ocado is finally reaping dividends.
Tesco also delivered at the high end and lifted sales by 3.7 per cent over the last 19 weeks as it gained even more market share.
It is a tribute to great expectations of success that the share price fell back, even though the supermarket giant is projecting operating profits of £2.9billion to £3.1billion for the full year. And we used to think that hitting £1billion deserved hosannas!
No frills
A sharp dip in the fortunes of discount retailer Primark in Europe, which saw an overall sales decline of 2.7 per cent in the 16 weeks to January, is not the ideal precursor to its plans for a public listing.
However, Primark and its parent Associated British Foods, which saw a setback for its food businesses in the US, doesn’t have to be judged on any quarter, or even one year’s results.
A 57 per cent holding by the Weston family means it is better able to ride out volatility.
Nevertheless, a slow embrace of the online click-and-collect space, enforced by tight margins, has not helped.
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