Drinks giant makes last-ditch plea for Rachel Reeves to slash alcohol tax in Budget — or risk 9,000 pubs closing

DRINKS giant Diageo has made a last-ditch plea for Rachel Reeves to slash alcohol tax in tomorrow’s Budget — or risk 9,000 pubs closing.

It has joined other industry leaders in urging the Chancellor to reverse the 10.1 per cent hike added to spirits by the last Government.

Nuno Teles, managing director of Diageo GB, even called on her to follow Tom Cruise’s lead.

He said: “The Chancellor may feel that she has been handed Mission Impossible — ignite economic growth while managing a so-called budget black hole.

“It’s certainly a challenge, but the spirits industry offers a solution. Working with us will support business growth and increase Treasury revenue.

“We call on the Chancellor to reverse the economic damage caused by the duty increase last August.”

The Johnnie Walker whisky maker has joined the Scotch Whisky Association and the English Whisky Guild in writing a letter to Ms Reeves.

They say the Tories’ hike has LOST the Treasury almost £300million in tax over the last 12 months because 61 per cent of people who like to eat and drink out have cut back.

Now one in five publicans and bar owners — about 9,000 pubs — are unsure whether they will be open in a year’s time.

Referring to Labour’s vow to back economic growth, Mr Teles said: “We urge the Treasury to put these words into action.”

Trainline on track

BOOKING firm Trainline has ramped up annual sales forecasts for the second time in weeks after strong demand.

The group now expects total sales growth to be between 12 and 14 per cent — up from previous guidance of between 8 and 12 per cent in September.

It also increased its revenue growth forecasts to between 11 and 13 per cent, up from 7 to 11 per cent estimated earlier.

Trainline said in the first half of the year that ticket sales accelerated 14 per cent year on year to £3billion, with revenues up 17 per cent to £229million.

Earnings soared 44 per cent to £82million.

The company has previously flagged an increase in the number of people switching to digital tickets and fewer rail strikes this year for boosting results.

A little choc of horrors

SHOPPERS have bought less this month despite price rises continuing to slow across food favourites such as chocolate.

Retailers reported “disappointing” seasonal sales, with volumes down on the same period last year.

However, online sales did jump, the Confederation of British Industry survey found.

Firms expect overall sales to remain broadly flat next month but believe online demand will grow in the run-up to Black Friday and Christmas.

The CBI’s Martin Sartorius said: “This weakness in activity was reflected across the broader sector, with wholesale and motor trade firms reporting declining sales.”

It comes despite figures from the British Retail Consortium-NielsenIQ Shop Price Index showing that food inflation slowed to 1.9 per cent this month, down from 2.3 per cent in September.

Halloween promos on sweets and other spooky treats have helped.

The heat is on WFH

FEWER people are expected to work remotely this winter because they want to cut down on their energy bills.

Two-thirds of staff said free heating encourages them into the office in the winter months, the latest Virgin Media O2 Business Movers Index shows.

It also found Monday and Friday work commutes have seen 7 per cent and 5 per cent year-on-year increases respectively as the remote working boom begins to fade — boosting retail sales.

Lidl shop spree

AMBITIOUS budget chain Lidl will open 10 new stores in time for Christmas.

Locations include Bovey Tracey in Devon, Berwick Green in Bristol, Stirchley in Birmingham and London, creating 400 new jobs.

It will also reopen three existing outlets that have either been relocated or refurbished and extended, including Chessington and Dagenham Heathway in the capital and Connah’s Quay in North Wales.

Lidl now has more than 960 shops in Britain and plans to open hundreds more.

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THE Financial Conduct Authority has handed Kristo Kaarmann, boss of money transfer firm WISE, a £350,000 fine after he failed to notify it about problems with his personal tax affairs.

But Kaarmann is still fit to continue in his role.

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Auto deal fear

SHARES in Lloyds Banking Group dropped 2.67 per cent yesterday as it was “assessing the potential impact” of a court ruling on motor finance commission payments.

The Court of Appeal ruled last week that car dealers could not get commissions from lenders such as Lloyds’ Black Horse brand without first getting a green light from customers.

Close Brothers, another affected firm, also saw shares sink by 7.88 per cent as motor finance lenders could face a £4billion compensation bill.