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Publicans make urgent call for tax on draught beer to be cut in half

3AW Breakfast
Article image for Publicans make urgent call for tax on draught beer to be cut in half

Publicans are calling on the federal government to slash the tax on draught beer to ease the burden on pubs hit hard by COVID-19 lockdowns and patron restrictions.

The Brewers Association is calling for tax in beer kegs to be cut in half in next month’s federal budget.

Chief executive of the Brewers Association, John Preston, says the tax cut would save a small to medium-sized pub about $500 a week.

“We have the forth highest taxed beer in the world,” he told Stephen Quartermain and Emily Power, filling in for Ross and Russel.

“For a country that makes a lot of beer … it’s not good that we tax beer at this high level.”

Mr Preston says the tax cut would allow pubs to hire more staff, rehire laid off staff, pay of debts accrued during the pandemic, or cut prices to boost patronage.

“We think this is a really good way of supporting jobs in the hospitality sector that’s been hit hard,” he said.

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