Hope Island publican Matt Coorey slams Commonwealth’s latest beer tax hike as Gold Coast operators struggle to recover from pandemic
A beloved publican is calling for a temporary relief on federal beer taxes, saying a reduction could help struggling operators recoup much-needed funds lost during the pandemic.
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A Gold Coast publican has lambasted a beer tax hike - the largest in a decade – as a “kick in the teeth” for operators, with predictions it will push up schooners by between 20 cents and $2.
Hope Island’s Boardwalk Tavern owner Matt Coorey called the federal government’s excise jump kicking in on Tuesday – driving up draught beer by 2.1 per cent to $36.98 per litre of alcohol – as “the last thing” venues slammed by the pandemic downturn needed.
“It affects our loyal customers, people are price conscious. It might be the decision that leads people to thinking they’re better off drinking at home.”
“There wouldn’t be a hospitality operator in Australia who said December and January are on par with what they did last year, most are reporting figures being more than a quarter below.”
Scott Imlach, whose stable includes Bine Bar + Beer, Precinct Brewing and Hideaway Kitchen & Bar said it would roughly drive up the price of a schooner at his venues from about $9 to $11 depending on ABV.
“It means we all have to put our prices up again to try make the insane margin.”
Australia has the fourth highest beer tax in the world, subject to a twice-yearly increase.
The operators join an industry-wide call for temporary relief from the beer tax, saying it would be key to helping recoup a much-needed portion of revenue lost in recent years.
It follows a lean period for the sector last month when mass temporary venue closures rocked the Coast as Covid ripped through staff ranks.
The Brewers Association, Clubs Australia and Australian Hotels Association want a reduction not a rise - calling for the existing beer tax to be halved in a “one-off” decrease.
The cut means the cost of a pint would dip by 40 cents, schooners by 30 cents and 20 cents for a midi pot.
Pubs and clubs would save an estimated $500 on tax bills a year, Mr Coorey said: “Any price hike is met with a why from customers, but for us as businessowners, the cost of inputs, the cost of supplies have all gone up as well.
“There’s a shortage of so many items nationwide so we’re getting hit from every angle. It’s compounding that with a beer exercise, they couldn’t have done it at a worse time.”
Queensland Hotels Association CEO Bernie Hogan said: “Twice a year for 35 years pubs and drinkers have copped a tax hike on draught beer.
“This year – after our members have done the right thing throughout the pandemic and at a time when jobs and businesses hang in the balance – we ask pubs and drinkers get a break.
Brewers Association of Australia CEO John Preston, said a 50 per cent cut in draught beer would reduce the Federal Government’s revenue from alcohol tax by only $150 million a year, or five per cent of all beer taxes.
“The industry is telling us they want to help out their patrons as well as employ more as they
rebuild – but the high level of tax is holding them back.”
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