Everards hits back at GMB's overcharging claim

By Matt Eley Matt

- Last updated on GMT

Related tags Trade union gmb Stephen jay gould Gmb Everards

Everards managing director Stephen Gould has hit back at criticisms from trade union GMB that the company is overcharging tenants for beer. The...

Everards managing director Stephen Gould has hit back at criticisms from trade union GMB that the company is overcharging tenants for beer.

The union, which claims rents and beer prices charged by pubcos is putting pubs out of business, has released what it claims are the prices the Leicester brewer sells its beers to tenants.

Among the claims are that Everards sells Carlsberg at £420 for 36 gallons - making a 122 per cent profit from its cost price of £189.46.

Gould declined to comment on the figures, but said he was disappointed nobody from the union had checked the validity of the prices before releasing them.

He said: "As a company we are very proud of what we do with our tenants and the relationships with have with them.

"If you look at our latest report and the profits we make it is not one of a company that is profiteering.

"I would add that I am surprised that GMB has unilaterally decided to do this and that is disappointing."

In 2009 Everards reported operating profits of £3.6m up from £3.5m in 2008. Turnover was £30.4m in 2009 down from £31.4m.

The figures released by GMB also suggest that Everards charges tenants a mark up of more than 100 per cent on 11 draught products.

Hayley Brennan, tied tenant GMB campaigner, said: "These figures are proof of the very high "wet rents" charged by pubcos in the form of mark up to wholesale prices paid for by the tied tenants.

"Everards tenants are paying between £387 and £446 per barrel for products sold to Everards for between £189 and £249 per barrel by the brewers.

"Wet rents and dry rents for tied pubs are far too high. This is one of the main reasons why local pubs are closing because tenants can not make ends meet. GMB has shown that pubco dry rents are up to four times open market rents."

A Carlsberg spokesman added that the company "did not discuss any information that could be seen as commercially sensitive"

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