Pubs expecting increased help with energy bills after the existing package of support expires in March look likely to be disappointed.

Chancellor Jeremy Hunt told business groups the support would be at a “lower level” to protect the public finances from volatile energy markets.

Gas and electricity prices have been fixed for pubs until the end of March.

The revised scheme is expected to run for 12 months until March 2024, with details on the level of support specified next week.

Commenting on reports that help with energy bills for hospitality businesses will continue until 2024 but only at 50 per cent of the current rate, CAMRA national chairman Nik Antona said it would put the UK’s thriving beer scene at risk.

Nik said: “The prospect of energy bills massively increasing from April this year will be extremely worrying for hospitality businesses – particularly community pubs, social clubs and small breweries and cider producers that are vital for consumer choice and a thriving beer scene.

“The cost of goods and employing staff continues to rocket and customers are tightening their belts. Many businesses wonder how they will be able to turn a profit if energy bill support is halved.

“If this cut is announced, then the chancellor’s Budget in March will need to provide extra support for hospitality businesses if we are to avoid the nation’s beloved pubs and breweries facing the threat of permanent closure. 

“It will be vital that venues get more help with the burden of business rates – and for the new, lower rate of duty charged on draught beer and cider to be introduced as quickly as possible to help pubs and small, independent breweries compete with the likes of supermarket alcohol.”  

The British Beer and Pub Association (BBPA) had a meeting with the chancellor to express its concern.

BBPA chief executive Emma McClarkin said: “We met with the chancellor to underline the challenges the industry faces and the critical importance of extending the energy relief support to avoid significant business failure and the closure of many pubs and brewers. Without extended support at close to current levels, pubs and brewers in communities across the country could be lost for good.

“Energy costs are the single biggest threat to our industry right now. The failure to safeguard pubs and breweries from price increases come April will be the last straw for businesses which have been struggling for three years to remain solvent and serving their communities.

“We urge the chancellor to extend the scheme or risk losing businesses across the UK that mean so much to so many.”