Wellington under fire on insurance

by Ewan Turney

Irate Wellington Pub Company tenants have voiced outrage at plans to charge them more than £500 each for a revaluation of the 836-strong estate.

Wellington tenants received a letter from managing agents Criterion Asset Management informing them that an independent company had been appointed to undertake a fire insurance valuation and that it would cost them £536 each in accordance with their lease.

A question and answer document stated that tenants have to use the chosen provider "because we want a totally independent valuer who can provide assessments on a consistent basis across the whole estate".

Gordon Harris, licensee of the Walkhampton Inn, Walkhamp-ton, said he was "absolutely sick" at the charge, especially in light of the recent "yellow-card" warning dished out to the pubcos by the Trade & Industry Select Committee.

"The lease is 70 or 80 pages long and there probably is a clause in there somewhere, but in the context of the times it is morally wrong. They are revaluing their estate and we are paying for it." He added that many local firms would provide a valuation for much less.

"I've been in the trade 30-odd years and I don't like being bullied," he said.

"It was certainly not a nice New Year's present."

Criterion Asset Management operations director Peter Gullis said: "The shareholders of the Wellington Pub Company have a broad portfolio and it was suggested by their insurance company and as part of the renewal process that a fire insurance valuation should be carried out.

"Once completed it is not expected to be done again for another five years.

"In accordance with the terms of the lease, it is clearly rechargeable to the tenant."