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Budget 'could threaten bar jobs' Politicians fear NI budget cuts
(about 1 hour later)
A rise in alcohol duty in the Budget would put jobs at risk, the NI drinks industry has warned. Politicians at Stormont fear millions of pounds could be cut from the bloc government grant as a result of the budget.
The Federation of Retail Licensed Trade (FRLT) said it could "cripple the industry", which employs 34,000 workers. First Minister Peter Robinson has warned of a negative impact if Gordon Brown reneges on a pledge to give NI a three-year financial settlement.
"The Republic had duty frozen, but I doubt we'd be that lucky," said its chief executive Colin Neil. Some predict that between £140m and £600m could be taken from Stormont.
In December, the FRLT said sales in beer had fallen 8% as more people buy alcohol in supermarkets. Behind-the-scenes talks have taken place in recent weeks between Northern Ireland politicians and Downing Street.
BBC Northern Ireland political reporter Stephen Walker said: "Whilst predictions differed greatly there appeared to be a growing consensus - that cuts are inevitable and they will hit the work of the executive."
Meanwhile, the Northern Ireland drinks industry has warned a rise in alcohol duty in the budget would put jobs at risk.
The drinks industry is also worried about the chancellor's announcement
The Federation of Retail Licensed Trade (FRLT) said it could "cripple the industry", which employs about 34,000.
In December, the Federation of Retail Licensed Trade said sales in beer had fallen 8% as more people buy alcohol in supermarkets.
"The Republic had duty frozen, but I doubt we'd be that lucky," said FRTL chief executive Colin Neil.
"In addition to rising duty, publicans are contending with increases in energy, transportation and raw material costs at a time when many in the pub industry are fighting for survival," said Mr Neil."In addition to rising duty, publicans are contending with increases in energy, transportation and raw material costs at a time when many in the pub industry are fighting for survival," said Mr Neil.
"In these recessionary times, the end result will be that it will be cheaper to drink at home than in the pub."In these recessionary times, the end result will be that it will be cheaper to drink at home than in the pub.
"Therefore we fully expect that as a result of any further price increases more and more people will stay at home to drink.""Therefore we fully expect that as a result of any further price increases more and more people will stay at home to drink."