Real Brewing Pub Company enters administration

By Amelie Maurice-Jones

- Last updated on GMT

Sad goodbye: Three of the operator's sites will close immediately (Credit: Getty/ imamember)
Sad goodbye: Three of the operator's sites will close immediately (Credit: Getty/ imamember)

Related tags Beer Finance Derbyshire

Real Brewing Pub Company, the pub operation arm of Derby Brewing Company, has entered administration due to Covid debts and soaring costs.

The brewery will not be affected and will continue to operate. Two of its sites, the Hole in the Wall in Mickleover and NOTSA in Aston on Trent, will continue to be operated by Derby Brewing under a new pub company.

In a statement, Derby Brewing managing director Paul Harris said: “It has been an extremely challenging trading environment over the last couple of years, including the pandemic, increased loan burdens on the back of this, ongoing recruitment challenges, soaring interest rates, supplier cost increases, cost of living crisis resulting in reduced trade and huge increases in the cost base with uncapped energy contracts.

“In spite of these challenges we had a plan in place to continue to steer through this however the business has HMRC arrears predominantly from the pandemic, like many in the industry, the HMRC had been working with us however this recently changed and the debt was demanded to be paid back within a short period, which meant the we could no longer continue to trade.”

'Huge regret'

Its two freehold sites, the Greyhound at Friar Gate and the Derby Brewing Tap House on Derwent Street, will be sold to clear the arrears to meet this timeframe.

Both will remain open and be sold as going concern safeguarding jobs and are now being marketed by the administrator.

The family gave a personal message: “It is with huge regret that we have been unable to steer the business through this extremely challenging period.

“We have unfortunately joined a growing list of operators to close previously successful businesses."

Nail in the coffin

They added: “The final nail in the coffin was a combination of the government allowing energy contracts five-fold previous levels to remain in place once their 50% support was removed and the in our view unreasonable behaviour of the HMRC."

Three of the operator’s site will close with immediate effect: the Clubhouse in Derby, the Pig in Lichfield and the Pointing Dogs, Matlock.

In all cases, staff will be paid, and there will be a chance for them to stay on at the sites.

Director of brewing Trevor Harris added: “This is an extremely upsetting situation for the team and family, we are pleased however that we have been able to continue the name of Derby Brewing, returning the business into a smaller family operation where we hope to build from.”

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