Sky 'piggy-backing on rateable values'

An outraged licensee has accused Sky of "piggy-backing" its way on the back of this April's increases in rateable values.

The company is set to combine the revaluations on licensed premises with its own annual subscriber price review before the new football season starts in August.

Letters were sent out last month to all its customers notifying them of a price freeze until the new rateable values come in.

But James Cracknell, licensee at the Coach and Horses, Clapham, and the Canton Arms, Vauxhall, said he is concerned by the potential rises. "It's outrageous the way Sky are piggy-backing their way on the back of the rateable value rise," he said.

"It's because they have a monopoly they are able to do this without a challenge. Sooner or later Sky will be so expensive that we might as well give up on it and just concentrate on food."

Many pubs face an automatic increase when their premises are placed in higher Sky charging bands, due to the revaluation, which will mean an average 17 per cent rise on values countrywide.

These views are echoed by Alan Reeve, licensee at the Cask and Bottle, Leamington Spa, who argues the broadcaster has got publicans "over a barrel".

"They know a lot of pubs have to have Sky in there, but it's got to the stage where it's so expensive, I don't know whether it's worth it," he said.

A Sky spokeswoman confirmed to The Publican this week the price freeze would allow it to consider the implications of new non-domestic rateable values.