Beer tax hike outrages Tasmanian publicans, punters, and patrons
The latest round of beer tax hikes have outraged publicans and punters, who say it simply does not pass the pub test. LATEST >>
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The latest round of beer tax hikes have outraged publicans and punters, who say it simply does not pass the pub test.
Custom House licensee Paul Jubb got his first job behind the counter in 1973, back when a pint of beer cost about 20 cents.
Nowadays some Hobart venues can charge up to $10 for a glass of beer - almost a 50-fold increase in the span of five decades.
Some of that increase is due to inflation, but most of that is due to the federal government beer excise tax which is jacked up one every six months.
Mr Jubb said he’d like to see lower beer excise taxes in order to revitalise the pub scene and give the industry a boost out of its Covid funk.
“I think a lower price would generate some demand in bars which in turn would help employment, create extra shifts for the breweries,” Mr Jubb said.
“It’d be better with people in the venues, staff, musos, the whole sector firing on all cylinders would have economic benefits.”
On Sunday the Australian Hotels Association and Tasmanian Hospitality Association launched a Hobart campaign to protest the rising cost of beer.
The latest tax hike was passed last Tuesday, and will add roughly 60 cents to the cost of a schooner and 80 cents to a pint of draught beer.
The Local Party candidate Leanne Minshull, who also runs the Fern Tree Tavern, said it was poor timing to jack up beer taxes at a time when locals were already struggling.
“We’ve haven’t had proper wages growth in this country for over a decade, so your wages are buying you a midi where they used to buy you a schooner,” Ms Minshull said.
“There are other ways to get revenue. Here’s an idea: don’t put the stage 3 tax cuts in 2024 that’s going to cost the budget $18 billion instead of trying to hoik an extra 20 cents on every poor bastard that goes to the pub and just wants to have a beer with their mates.”
Australian Hotels Association CEO Stephen Ferguson travelled throughout Tasmania this week to stir up opposition against the “galling” tax hike.
Mr Ferguson said he would continue lobbying politicians to slash the beer tax in half.
“The government always tells us they want to decrease the cost of living, lower taxes, and enable Australians to keep more money in their pockets, but when it comes to draft beer Australia has the fourth-highest beer tax in the world,” he said.
“When they make this increase each six months it takes about another $160 million from Australians’ pockets.”
Tasmania charges fourth highest beer tax in the world
AS Hobart prepares to host 500 publicans and hospitality leaders for their national awards, the Australian Hotels Association will today launch a campaign to slash the tax on draught beer.
Due to the Covid pandemic, it will be the first time in two years that the industry has been able to come together to celebrate excellence across the country.
AHA national chief executive Stephen Ferguson said it was fantastic for Hobart to be hosting about 450 interstate visitors for the awards.
Mr Ferguson, who has been in Burnie and Launceston visiting hotels and meeting with politicians, is lobbying for the federal government’s tax on draught beer to be halved.
“Tasmanians join their counterparts on the mainland in paying the fourth highest beer tax in the world,” Mr Ferguson said.
“The tax is six times what they pay in the United States and higher than in the UK and New Zealand. It needs to be halved and the sooner the better.
“It adds about 60 cents to the cost of a schooner and 80 cents to a pint of draught beer.”
Mr Ferguson said lowering the tax on draught beer would keep people in jobs and encourage people to be social and go out for a beer.
“This is about jobs and sociability. It is a lot cheaper to buy a slab of beer and go home rather than go to the pub,” he said.
“The hidden beer tax goes up twice a year and it went up quietly again last Tuesday and it is making it unaffordable for many older people to go to the pub.
“The government wants to lower taxes and let people keep the money they earn – well halving this tax will do that.
“We could soon be seeing schooners costing $10, with the hidden tax dollars flowing directly to Canberra instead of staying in Tasmanian pockets.”
Tasmanian Hospitality Association CEO Steve Old said it was time to give pub-goers a fair go.
“Enough really is enough – pubs and patrons alike have been doing it tough during COVID – we should be encouraging people to safely socialise together once again, not taxing them on one of life’s small pleasures,” Mr Old said.
“This hidden tax has increased every six months for 35 years – it’s nothing but a tax on socialising and has to stop before beer really does become liquid gold.”
The tax campaign will be launched at the Customs Hotel on Sunday and has been timed to put pressure on political parties ahead of this year’s federal election.
The AHA National Awards for Excellence will be held at PW1 on Monday afternoon.
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