Clive Watson, boss of City Pub Group, says the rise will be needed to pay for a higher minimum wage.
The price of a pint of beer will have to rise by as much as 30p to help pay for higher wages and energy costs, one pub owner has warned.
"It makes beer duty, business rates and VAT cuts in the Budget on Wednesday all the more important for the viability of our sector," she added.Chancellor Rishi Sunak's latest Budget, to be delivered later on Wednesday, comes as the pub trade is still recovering from lockdown measures imposed during the coronavirus pandemic.
"That's basically kept the industry on life support, but we're coming off life support now and we need to be able to have a road to recovery," Mr Watson told the BBC. But now it faces further challenges - not just minimum wage rises, but also higher energy and food costs, as well as employers' national insurance contributions going up next April.
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