Punch resolves lessee dispute

A Punch lessee who claimed he was badly treated and misled by the pubco has agreed to stay at his pub after Punch promised a £40,000 investment.

Dave Mountford, of the Rising Sun at Middleton, Derbyshire, entered the media spotlight after the GMB union highlighted his case. Punch's new £40,000 investment brings the pubco's total spend on works at the pub to £100,000.

Mountford originally presented his case in a 13-page letter to the BII. This called on the BII to withdraw Punch's accreditation under the BIIBAS scheme, which indicates its code of practice for lessees is clear and transparent.

The lessee claimed he was targeted to take on the lease in March 2007 after he had been made redundant.

He said he was promised a £180,000 investment in the run-down Rising Sun pub if he took it on. He and his wife moved their family of four children to Derbyshire on the basis of this deal but after waiting for two years, Mountford was ready to give up on the pub and begin a legal challenge.

Speaking to the Morning Advertiser, Mountford said: "It is great to come to a solution, and to be working together with Punch in the future to build the business."

Punch regional operations director, David Wigham said: "We are delighted to be working closely and productively with Mr Mountford to build a great future for the Rising Sun.

"We are investing in the business, which includes contemporary refurbishment throughout, new fixtures and fittings, a new kitchen, new flooring and toilets and also re-surfacing of the car park. Work has commenced on the kitchen and further improvements will begin in the New Year.

"Our priority is to ensure that the Rising Sun has a sustainable future and is a credit to the local community."