Statutory code: BBPA chair Jonathan Neame warns intervention could be 'worst possible thing to do'

By Ellie Bothwell

- Last updated on GMT

Related tags Bbpa annual dinner Bbpa

Jonathan Neame: 'Market forces will always drive the sector forward faster than the dead hand of legislation'
Jonathan Neame: 'Market forces will always drive the sector forward faster than the dead hand of legislation'
Statutory regulation could “stifle investment, crush job growth and curtail entrepreneurialism”, British Beer & Pub Association (BBPA) chair Jonathan Neame has warned.

Speaking at the BBPA Annual Dinner on Wednesday evening, Neame, who is chief executive of brewer and pub operator Shepherd Neame, reinforced his message against statutory regulation, telling members that “Draconian intervention could be the worst possible thing to do”.

He said the BBPA welcomes the Department for Business, Innovation & Skills consultation into the tied pub model and recognises that the model needs to evolve and adapt to reflect the changed market conditions. However, he said market forces “will always drive the sector forward faster than the dead hand of legislation”.

Mutual objectives

He said: “There is a new found confidence in the sector that is driving us all on.  But in the background there remains a concern about statutory intervention in the pub sector.

“Our partner licensees - quite rightly - demand more investment, more support, higher quality services, greater flexibility and responsiveness from their pub owners.  I know of no company in the BBPA not responding to these changes.  It’s how we compete, with each other, and for the talent out there. This has always been at the heart of the tied house system: low entry cost, shared risk, mutual objectives.”

He added: “It is right that policies and working practices have been under the spotlight.  But, Draconian intervention could be the worst possible thing to do to stifle investment, crush job growth and curtail entrepreneurialism.”

Government partnership

Neame also praised industry partnership with the Government in relation to the Public Health Responsibility Deal and best practice schemes, giving special thanks to Financial Secretary to the Treasury Sajid Javid and Community Pubs Minister Brandon Lewis for their support.

Bright future

Although he admitted trading volume is still falling in the sector he remained positive about the future for the trade, adding that spend is stabilising and the industry’s reputation, profile and consumer interest has improved “faster than any other year I can remember”.

“We have evolved from the fragmented, introspective and at times negative industry towards a dynamic, creative, entrepreneurial, forward looking sector with a bright future,” he said.

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