No half measure for‘tied’pubs, say business chiefs

Lanarkshire pubs tied to large drinks companies should get the same legal protections as their counterparts in England and Wales, according to the Federation of Small Businesses (FSB).

Tied pub tenants are required to pay rent to and buy supplies of beer and other products from their big business owners.

Many complain that they’re forced to pay substantially more than their non-tied, or free-house, competitors.

In England and Wales, a statutory pubs code and an independent adjudicator governs the relationship between tied tenants and large pub companies (Pubcos).

FSB is therefore backing Neil Bibby MSP’S Holyrood member’s bill to give Scotland’s 500 tied pubs and their customers a fairer deal.

Hisashi Kuboyama, West of Scotland development manager with the FSB, said: “Independent pubs in Lanarkshire showcase the best in food and drink that the region has to offer. But many are faced with punishing overheads and tough competition.

“Tenants of tied pubs can pay around two thirds more for a keg of beer. It is of little wonder, then, that three quarters of them say they’re worse off as a consequence of the tie.

“South of the border, they’ve taken action to protect pubs – they called time on ineffective industry selfregulation and limited the Pubcos’power. Scotland must introduce similar measures.”

A Pubs Code, and associated adjudicator, has been in place in England and Wales since last year. Its stated aim is to ensure that tied tenants are no worse off than if they were free of tie.

Mr Kuboyama said:“all small pubs in Lanarkshire should be free to support Scotland’s internationally renowned micro-brewing industry. A Scottish code could help to stimulate both choice and competition.”