On August 5, the second of two annual increases in the excise tax on beer and other alcoholic beverages will take effect. As a result, proprietors of bottle shops and pubs will probably pass along the higher prices to customers.
This tax imposed by the Federal government is based on the Consumer Price Index, or CPI, and will hit the common Aussie who are already coping with the cost of living crisis.
As per the common Aussie who enjoys drinks with friends, they can cope with one increase in a year; however, two is unfair.
Such taxes are viewed as an assault on their wallets, limiting their visits to pubs and clubs. Many prefer to stay back home rather than take out a second mortgage just to pay for a few beers. Such steps are ripping off the social fabric.
Many prefer to stay home
The rising cost of beer is impacting the common Aussie, as such hikes are testing drinkers’s allegiance, as many regulars have become semi-regulars.
Brewers Association CEO John Preston took his take on the current situation by saying, “It’s just got to the stage after successive increases, where it’s really now starting to hurt beer drinkers.”
Brewer beers triples in price
Countless people are suffering, including Russ Pearce. Being an accountant by day and a vocalist for an ’80s tribute band at night, he’s in a unique position to discuss the effects of rising prices.
In an interview with Yahoo Finance_08, he said, “Four years ago, we used to drink at this bar after gigs, and they’d charge $5 for a 300-ml can of a local craft brew.”
“That same beer at the same bar is now $15, so that was the end of that.
“I’m in the middle of tax return time and am hearing first-hand from clients about how tough people are doing it.
“Many have already put a hold on going out because of the cost, and this latest increase will hurt further.”
The father of three has now cut back on his own socializing and taken it in-house.
“We used to go the pub to watch the footy and have three or four schooners, but those costs start to add up quickly,” Russ said. “Now I will have mates around to watch at home with a six-pack.
“It’s the same deal with nights out—more and more people are drinking at home and then sitting on one or two drinks when they go to a venue.”
In Sydney’s Surry Hills, there are bars all around Brad Coleman, yet he seldom goes inside.
“There are probably half a dozen within walking distance, but it’s just too expensive to go out,” he said.
“Even an average night could set you back a couple of hundred, and now this tax will only add to the cost. It makes more sense to buy a case of beer and have some friends around.”
If only you had the money! It’s all enough to make you want to drink!
- Published By Team Australia News
