Licensees welcome scheme clarifying pubco agreements

Licensees have given a tentative welcome to a new scheme aimed at offering them a better understanding of pubco lease agreements.

The initiative has been set up by the BII to give potential and current licensees a clearer understanding on what set-up they are being offered by pubcos.

Four pubcos - Enterprise, Punch, Marston's and Fuller's - are the pilot companies for the scheme, which is being administered by a separate not-for-profit company, known as BII Benchmarking and Accreditation Services (BIIBAS).

The scheme addresses many of the issues that were raised in the 2004 Trade and Industry Select Committee inquiry into pubco power.

Licensees were critical of this inquiry, but appear more positive about this new scheme.

Bill Sharp, licensee at the Kings Arms, in Borough, London said: "Hopefully it will be overseen properly. It's one thing to have a kite mark, but it needs to be watched over.

Anita Adams, licensee of the Golden Slipper, York, said the scheme was "long overdue". "Anyone taking on a lease should not have to look for hidden agendas," she added. "It needs to be spelt out what pubcos have the right to do and if you accept it, you accept it. If this scheme can ensure that, then I welcome it."

Under the scheme, once a pubco has been assessed, it will be able to display the benchmarked logo, which proves its code of practice clearly sets out the relationship between the company and the lessee or tenant.

John McNamara, BII chief executive, said: "By receiving the benchmark it shows people joining the industry exactly the nature of the relationship they are entering. It is important to remember that we are not assessing whether they are fair."

For more information visit: www.biibas.com