Why freehouses merit a bigger role in new order

The most positive bit of trade news I have read recently was about the boost that the already rapidly expanding freehouse market is almost certainly going to get from Punch Taverns' decision to sell 2,200 of its pubs. At least that's what the Publican's Morning Advertiser's editor said, and that's good enough for me.

I have long believed that the freehouse, real freehouse that is, is a concept that has the potential to give our UK pub trade a completely new lease of life.

For one thing, a freehouse can provide the entry-level leg-up that enables the budding entrepreneur, massive on creativity but impatient of corporate structure, to put their ideas into action. They can be creative test beds for the entire trade.

For another thing the freehouse is good news for the drinker, offering real beer choice.

The recent growth in freehouse numbers coincides with the growth of microbreweries and a surge in locally-brewed and terrific beers of all styles, not to mention an ever-increasing interest in foreign beers.

Even changes in the route to market are aiding this development.

Look at the number of regional and local wholesalers that have sprung up recently as a result of upheavals in that sector, but who are there to satisfy this demand.

Also, although everybody who wants to stay in business must listen to what their customers want, the freehouse is able to respond immediately.

It is also better placed to address community needs, like when maybe a post office or paper shop, or whatever, is needed.

However flexible, responsive or sympathetic, bigger organisations are necessarily slower to react in this respect.

There is a downside. Historically, there has been a relatively high failure rate among freehouses, but that is one of the perils of being out there on your own.

The ones that get it right will survive and the ones that don't will go under.

Taking a Darwinian view, that must be healthy for our business.

Of course the pub estates of our regional brewers and the best pubcos have a central and vital part to play in maintaining a healthy pub sector.

However, the freehouse, for all the reasons I have stated, deserves — and I believe is getting — a bigger role in the new pub order that is shaping up so swiftly around us.

Tony Jennings is chief executive of Budweiser Budvar UK​