Alcohol duty could rise 3.9% in the Budget, adding about 2p a pint

Alcohol duty is expected to go up by 3.9% in Wednesday's Budget, according to reports covered by The Morning Advertiser. The rise would be linked to RPI inflation and take the duty on a pint from around 50p to 52p.

Where the trade stands - The British Beer and Pub Association wants beer duty frozen and the draught discount increased. It says UK brewers already pay some of the highest beer duty in Europe. - UKHospitality pointed out that operators don't pay duty directly, but any rise feeds through to what you pay for stock. It wants the draught discount widened if the headline rate goes up. - The Treasury said tax decisions will be set out in the Budget and would not comment on speculation.

Why it matters: 2p a pint sounds small, but it lands on top of the expected wage rise, higher rates bills for many sites and energy costs. Brewers and wholesalers usually pass duty changes on quickly, so price lists can move within weeks.

What to do this week: once the Budget is out, check whether the draught discount changes as well as the headline rate. Then look at your draught versus packaged mix and decide whether you take the hit, round up, or shift the margin elsewhere on the menu before your suppliers' next price letter arrives.