I'm not sure jumping from £2.10 to £2.70 can be considered modest in the context of a village with a population of 500.(I'm not sure of the going rate for a pint in England (I'll be finding out next week though) but that seems excessive for rural England) Whatever about charging £14 - £19 for a main course, you need the locals to keep supping your beers to survive.
Like you said though, whatever your opinion on their business plan their attitude stinks.
They also had a visit from the Cask Marque people, and only passed on three of their five ales, so didn't get the award. I know, as they said, it gives them something to work on, but their own two casks seemed to come out the worst.
One beer was 9deg and another was 19deg(!)(11-13deg was the allowable range).