Code risks shutting responsible pubs too

The Government risks shooting itself in the foot by introducing a mandatory code on alcohol retailing because the extra burden would close some responsible outlets.

That was the message in support of the pub trade delivered to MPs on the Policing and Crime Committee by Conservative shadow minister for Home Affairs James Brokenshire.

The mandatory code, which could introduce mandatory training and force pubs to sell wine and spirits in smaller measures, would cost each pub between £365 and £1,424 per year.

"The Regulatory Impact Assessment contemplates that businesses will shut as a consequence of this," Brokenshire told MPs.

"That may not necessarily be because it's about driving out bad businesses, it's about the regulatory position, which is being put in there that means that some good businesses, that are complying with the law, are being responsible and are seeking to adhere to what might be regarded as good social responsibility practice, may be forced out because of the costs and burdens that are being applied."

The Association of Licensed Multiple Retailers welcomed Brokenshire's support. It wrote to all members of the Committee stressing that even good businesses could be put out of business by the extra burden of the mandatory code.

"It's good to see the Conservative front-bench listening," said ALMR chief executive Nick Bish. "As the leading pub and bar operators, our members are on the front line of dealing with compliance issues. They know that every pound spent dealing with the latest Whitehall diktats is a pound not re-invested in their businesses and their people.

"We need the Government to listen in the same way. If it fails to do so, it risks severely compromising its own objectives.

"Our industry provides an environment that encourages responsible drinking and discourages anti-social behaviour. These latest proposals could end up tipping even the best operators over the edge. The resulting gap in the market will be filled by supermarkets, which means more drinking in unsupervised environments."