Shepherd Neame reveals reopening rent plan

By Nikkie Thatcher

- Last updated on GMT

Pub business: Jonathan Neame said he was excited about the prospect of reopening
Pub business: Jonathan Neame said he was excited about the prospect of reopening

Related tags: Shepherd neame, Coronavirus

Kent brewer and operator Shepherd Neame has announced a phased rent proposal for its licensees after the anticipated reopening of pubs on 4 July.

This follows its cancellation of rent for its licensees throughout the enforced closure​, which it claimed totalled more than £2.5m to date.

The new temporary policy means licensees will get a 70% discount on their prevailing contractual rent, effective for four weeks from the date pubs can reopen.

Following this, licensees will get a 50% discount in month two, 40% discount in the third month and 30% reduction in month four.

Rent proposal

However, this is on the assumption pubs open with a two-metre social distancing rule, reducing to one metre by the end of July.

Shepherd Neame also said if the social distancing guidelines mean licensees can’t reopen their pub due to the small nature of the venue, further individual support will be considered.

The south-east based pub group is also providing licensees with Covid-19 risk assessment templates, reopening signage and thermometers in a bid to help its publicans reopen safely, as well as assistance in processing beer ullage.

Shepherd Neame will announce further information during October on its proposed rent concessions from 2 November to April 2021 when it is anticipated full rent will resume.

Reopening prospect

Chief executive Jonathan Neame said: “I would like to once again, offer my sincere thanks to our licensees for their continued support in these challenging times.

“We have been so heartened by the numerous examples of licensees who have gone over and above to adapt their businesses to support their local communities during this difficult period.

“We are very excited about the prospect of reopening, but we have a long road ahead of us to get back to normal trading, which is why we are introducing this phased rent concession for our licensees.

“We want to ensure we continue to support our licensees financially in the reopening process to protect their businesses for the future.”

Related topics: Other operators

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