As New Yorkers head out for a night on the town, they may be in for an unwelcome surprise. With a rise in congestion pricing, the price of beer is set to jump by about 13% in some of Manhattan’s busiest areas. This increase specifically impacts the costs associated with delivery, which will hit bars and restaurants hard.
Anheuser-Busch, the company behind popular beer brands like Budweiser, Michelob, and Stella Artois, has announced a price hike on kegs by $5. A company spokesperson mentioned that this price adjustment will affect customers throughout the New York City area. They are factoring the costs of congestion pricing into their delivery fees, which means bars will likely charge patrons an extra dollar per pint.
One irate beer enthusiast commented on the situation, lamenting that this appears to be just another method for the government to squeeze money from residents. He described the price hike as “death by 1,000 cuts,” expressing frustration over more taxes and fees that make enjoying a beer more expensive.
Regular customers at local bars are already feeling the pinch. Some patrons who choose cheaper options like Budweiser have indicated that they might rethink their drinking habits if prices continue to rise. Jaye Bartell, a 42-year-old customer, confessed that he might not continue to drink Budweiser if prices keep climbing.
Bart owners, like Lee Seinfeld who runs several bars on the Upper West Side, are bracing for tough times. He stated that the congestion pricing will hit Midtown establishments particularly hard. He has already seen a drastic increase in his food costs since the pandemic, and the new delivery fees are likely to push customers away.
In a bid to cut costs, some bar owners are discussing alternative delivery schedules—asking suppliers to drop off products during off-peak hours when the toll fees are lower. This is an indication of the scramble businesses must undertake just to keep afloat.
Eugene Wilson, who owns Pig N’ Whistle Public House, shared concerns about rising prices. Although he hasn’t received specific information regarding price increases, he is acutely aware that his patrons are already facing high costs for beverages, with drafts priced at $8 and imported beers at $10. He worries that any further increase could dissuade customers from visiting.
Andrew Rigie, executive director of the New York City Hospitality Alliance, pointed out that these price spikes are exactly what small business owners feared. The struggle will be whether to absorb these costs or pass them along to customers who are already grappling with rising expenses.
It’s not just the beer industry feeling the pressure. Other suppliers across the city are raising prices due to congestion fees. A uniform provider informed clients that service charges would be adjusted starting in January, citing the ongoing costs of doing business in New York. Similarly, Sysco, a food distributor, announced a new $1 “congestion charge” to address rising delivery costs.
Drivers are also facing higher fees under the congestion pricing plan. For large trucks, the cost is set at $21.60, while small trucks will incur a charge of $14.40 when traveling below 60th Street during peak hours.
Governor Kathy Hochul has reignited the debate around congestion pricing. While her administration argues that these fees will fund essential upgrades for the Metropolitan Transportation Authority and help reduce both traffic and pollution, many are questioning whether the average New Yorker should bear the brunt of these costs.
As the realities of life in New York City become increasingly challenging, many residents are left wondering how much more they can take. These rising costs threaten not only to disrupt a beloved pastime but also to impact the livelihood of countless small businesses across the region. With frustration swirling, one can’t help but wonder whether this will push even more New Yorkers to think twice before heading out for that pint of beer.
