As Part of the Government’s Plan for Change, the Department for Business and Trade has committed the cash to help Pub is The Hub deliver projects such as creating community cafés, village stores and play areas, aiming to bring residents and families together.
Employment rights and consumer protection minister Kate Dearden told The Morning Advertiser: “Rural pubs are vital community assets, creating jobs in local economies and providing people with a place to socialise and come together and initiatives like this are really important.”
The MP also referenced Pub is The Hub’s report from last month (September) on the social value the sector has, which found for every £1 spent investing in the provision of services and activities in the pub, an average of £8.28 of social value is created.
“[The funding] is a really important initiative to help rural pubs deliver additional community services,” Dearden said.
So far, Pub is The Hub has supported hundreds of diversification projects and is looking to help 1,000 more pubs over the next three years, creating 2,500 jobs and 1,600 services for more than 1m residents.
Dearden added: “In that social value report, it identified those rural pub projects that are currently stuck in limbo, which is why we wanted to support this initiative with the funding.
“We’re absolutely delighted to announce the more than £440,000 grant for Pub is the Hub to help deliver those projects to help these pubs provide those services that are absolutely vital.
“That really demonstrates the importance of this work and these kinds of projects and why as a Government, we are really supportive of this initiative.”
Pub is The Hub chief executive John Longden thanked the department for recognising the role pubs and licensees have in rural and deprived areas.
Long-term diversification
He told The Morning Advertiser: “We’re looking forward to working with the publicans that come forward and hope diversification can run for years.
“It is wonderful to have the funding available, demonstrating this much needed support and recognition for local publicans.
“They are the heroes here [and the funding will] help provide new services and loneliness activities like a theatre and community gardens and in rural, remote and deprived areas. It is very exciting recognition at the right time with publicans taking such a battering.”
He went on to lay out his hopes for the impact of the funding and what it signals to licensees and the wider sector.
Longden said: “I hope it will encourage people to recognise the great work a publican does and that the publican is an unsung hero.
“If the Government is recognising the good work a good publican can do in their community, I hope it will attract more people into the trade. We know things are challenging for everyone but it’s recognition for small businesses.
“We hope it gives publicans faith that people do care about what they do.”
Greene King CEO and co-chair of the licensing taskforce Nick Mackenzie said he was pleased to be a long-term supported of Pub is The Hub.
He added: “No one can underestimate the huge social and economic value of pubs. Our pubs are more than bricks and mortar where people eat and drink – they are places where people come together for all occasions and celebrations, they offer local employment and careers for people of all ages and can help in tackling loneliness.
“Additional access to funding and less red tape is some welcome news to help pubs continue to adapt to meet the needs of local communities.”
Cost reset needed
Moreover, the British Beer & Pub Association (BBPA) chief executive Emma McClarkin welcomed the funding while also issuing a call for the Government to support the sector at the upcoming Budget next month (Wednesday 26 November).
She said: “This grant is a welcome sign that Government recognises not only the essential value pubs have for society, jobs, and the economy but also the huge financial burdens they shoulder. This funding will help Pub is The Hub continue to do its fantastic work in helping pubs diversify.
“If pubs are to thrive and, with them, communities, the Government must use this once in a generation Budget to reset the sector’s crushing costs by reforming business rates, cutting beer duty and VAT, and mitigating soaring employment costs.
“Relieving the crushing costs on the sector will not only keep our treasured pubs open but keep workers in jobs and spur on local economies.”
MP Dearden also told The Morning Advertiser about the importance of the funding amid the turbulent trading conditions pubs are facing.
She said: “Pubs are absolute key drivers of local jobs, growth and our local communities. We’ve heard the concerns many across the industry are facing, particularly from our rural pubs.
“I know from energy costs to business rates, they are major challenges for businesses right now and that’s why this funding is really important for many of our rural pubs.
“We want to support our vital community assets to help create those jobs and support our local economies and provide more opportunities for local people to socialise and come together.
“We’re laser focused on delivering an economy that can give businesses the benefit and flexibility they need to invest and grow.”
The minister outlined how this latest funding was part of the Government’s package for the sector, alongside looking at licensing and lowering business rates.
She said: “We understand the challenges faced but this is a really important step in supporting our rural pubs in particular with the initiatives, making them feel really connected to their local communities and driving that support while we’re relentless focused on growing our economy so all businesses across the UK, rural and urban pubs benefit from that.”