ALMR urges flexibility over beer tie

The Association of Licensed Multiple Retailers (ALMR) has been forced to clarify its position on the beer tie following controversial evidence given during the MP-led pubco power inquiry.

Chief executive Nick Bish told the Business and Enterprise Committee last month that the pubco model was not working because of the "declining market".

His comments attracted criticism and at the time some ALMR members were believed to be reviewing their membership.

But Tim Sykes, the ALMR's chairman, has written to members clarifying that it is not opposed to the tie itself, in relation to brewers and smaller companies.

"The ALMR's position - agreed at council - is that multiple operators would prefer to have the choice of where to buy their beer - this should not necessarily be a condition of the lease," he states in the letter.

However he says the ALMR challenges the need for "compulsory supply agreements" on long leases and says lessees should be allowed to negotiate leases that "reflect the open market".

Bish also told The Publican: "We would re-iterate our support for the tie as operated by the brewers in their tenancies.

"Multiple operators also want flexibility as part of a long lease because this would allow fairness in the sharing of economic benefits.

"But above all I would re-iterate the need for the government and the banks to play their part in the support of the economy and our business in particular - with this we can be united."