Enterprise explains RPI rent increase mix-up

By The PMA Team

- Last updated on GMT

Related tags: Rpi, 1979

Enterprise: only a small umber of licensees affected by the error
Enterprise: only a small umber of licensees affected by the error
Enterprise Inns has explained that a mistake over a rent increase was caused by the late publication of RPI figures by the Government. Simon...

Enterprise Inns has explained that a mistake over a rent increase was caused by the late publication of RPI figures by the Government.

Simon Townsend, chief operating officer, said: "We did the right thing with the information that was available to us in the same way, and to the same timetable as we always do. When the information was then found to be incorrect, we dealt with it.

"On 20 January, the most recent Government statistics confirming the rate of RPI for December were published.

"Due to the late publication of this data, a small number of licensees on a particular agreement whose rent was due to be adjusted by the RPI prevailing in December 2008 received a letter on 16th January containing incorrect information.

"The rate of RPI relevant to these licensees is 0.9% and all have been written to correcting this matter."

Enterprise licensee Ally Yeoman was told in a letter dated 16 January his annual rent would rise by £958 to £32,905 from 1 February. This is in line with the RPI level from November, which was 3%.

The licensee queried this figure after checking with the Office of National Statistics, which showed the most recent RPI available at the time, for December, was 0.9%. Yeoman, of the Bullers Arms in Landrake, Cornwall, has now been sent a revised statement saying the increase will be 0.9%, or £288.

Related topics: Legislation, Ei Group

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