Pubco protesters to march on Parliament
Angry tied pub tenants will march on Parliament on 7 December demanding urgent action on rents and the beer tie.
The march is being organised by Justice for Licensees leader Inez Ward, the brains behind the Pubco Protest outside the headquarters of Punch and Enterprise last January.
Ward, whose group has signed up to the newly formed Independent Pub Confederation, hopes to put pressure on the Government to act now to save pubs as well as instigating a full-scale Competition Commission review.
"There is no time to waste," said Ward. "As every day passes, more and more tenants are going out of business and losing not just their jobs but their homes as well.
"They can not afford to wait for the outcome of a Competition Authority investigation, although that is also urgently required.
"They need help now. The time for talking is over. The pubcos have not listened. Now, we need action."
Ward wants Government action on pubcos to force a fairer deal on rent setting and reform of the beer tie but stressed a full competition review must also be undertaken.
Divide
The announcement of the protest caps off an historic week for the pub trade, which has seen the last ditch landmark mediation process fail and the emergence of a huge divide.
One group, made up of key tenant, consumer and brewers, have formed the Independent Pub Confederation (IPC).
The IPC is calling for all lessees to have the option of going free of tie, new guidance on rent valuation, greater transparency on rent setting, removal of RPI-linked and upwards only rent clauses and a scrapping of the AWP machine tie.
The British Beer and Pub Association's (BBPA) believes its new Framework Code of Practice on the Granting of Tenancies and Leases, could be sufficient to prevent a further inquiry.
The code, agreed with the BII and the Federation of Licensed Victuallers Associations, calls for the removal of upwards only rent clauses, greater transparency across the board and a procedure to deal with complaints.
The Royal Institute of Charetered Surveyors (RICS) also recommended changes to the pub rent setting system to increase transparency.
In addition, another group of tenants, Pub Revolution, is still threatening to withold rent payments and buy beer outside of the tie in a mass "beercott" to put pressure on pubcos to reform.
The Office of Fair Trading is expected to make a statement on Thursday 22 October as to what action it is to take following the Campaign for Real Ale's super-complaint.
The week that shook the trade
Tuesday 13 October: Mediation fails.
Wednesday 14 October: Independent Pub Confederation launched (Pub trade back at loggerheads).
Wednesday 14 October: BBPA launches its new Framework Code of Practice on the Granting of Tenancies and Leases in agreement with the BII and FLVA. It claims that further Government or competition authority intervention will be unnecessary (Pubcos set out 'fundamental reform' plans).
Friday 16 October: RICS reports on rent guidance (RICS to make pub rent changes).
Friday 16 October: Tenants announce a march on Parliament for 7 December.
