We've all heard of Perth's beer war, but a new battle is brewing among the western suburb's favourite pubs and restaurants.

When the Village Bar initially made the move to drop their price for a pint of their "beer of the month" from $10 to $4 for the entire month of January this year, it seemed this was going to be the lowest Perth beer prices had dropped since the 1980s.

Does this deal beat Claremont Hotel's $2 tacos? Credit:Hannah Barry

But their neighbours at the Vic Hotel, less than one kilometre up the road, were quick to fire back. They dropped their pint prices – for both Rogers and Swan Draught - to just $3.50 a glass.

Pretty soon, everyone wanted a piece of the action. The Claremont Hotel got involved with its own $5 pint special for Wild Yak and Coronas, which forced the Vic Hotel to return fire with its own $3 sparkling cocktails and cider.