FIRM IS CUTTING 2,000 PUB JOBS
BEER GROUP TO CAMPAIGN FOR SUPPORT PACKAGE AS MARSTON’S TO CUT 2,150 STAFF
BEER experts have claimed it is “make or break moment” for pubs after Burton brewing giant Marston’s announced thousands of job cuts.
The Campaign for Real Ale (CAMRA) said its 180,000 members across the country are being asked to email their MPS to demand a financial support package to save pubs from extinction during the pandemic.
Marston’s pubs division has said it plans to cut 2,150 jobs due to the impact of the Government’s new coronavirus restrictions across the UK.
It has a total of 1,379 managed, franchised and leased pubs up and down the country. The company, which makes Pedigree, has its brewery in Shobnall Road in the town.
CAMRA national chairman Nik Antona said: “It is not surprising that a company like Marston’s is having to consider these drastic steps.
“Recent government announcements has exacerbated the feeling that pubs have become a scapegoat for the pandemic.
“In Merseyside, pubs are being forced to close while similar businesses like restaurants are allowed to stay open. This is despite the fact publicans have done everything asked of them to make their venues Covidsecure.
“In the rest of the country with medium and high alert levels, pubs face severely reduced trade as a result of the Government undermining consumer confidence.
“While measures announced by the Chancellor last week to help pubs forced to closed are necessary, those pubs that are allowed to stay open are at risk too. A quarter of pubs say they are at risk of going under by Christmas.
“That’s why 180,000 CAMRA members across the country are being asked to email their MPS to demand a financial support package to save pubs from extinction.
“This is a make or break moment for British beer and pubs as we know them.
“We desperately need a proper sector support package to help pubs and breweries at all alert levels with costs they are struggling to meet – or we risk losing our locals altogether.”
In a trading update yesterday, Marston’s said: “The initial effect of these new rules has been to undermine consumer confidence and create uncertainty. Restoring confidence will only happen when UK Government and the devolved administrations are able to remove these restrictive measures, which they state are intended to be short term in nature.”
Ralph Findlay, Marston’s chief executive officer, said: “This year has been testing on many fronts, predominantly from having to navigate the consequences of Covid-19.
“On re-opening, we set ourselves three objectives: for pubs to be safe for our guests and our people, to retain pub ambience, and for our pubs to be financially viable. I believe we have met those objectives.
“However, the additional restrictions which have been applied across the UK most recently present significant challenges to us and will make business more difficult for a period of time. “I very much regret that the consequence of this is that the jobs of around 2,150 of our colleagues will be impacted, but it is an inevitable consequence of the limitations placed upon our business.”
Burton MP Kate Griffiths said: “This is very concerning news for Marston’s as one of the biggest names in British brewing.
“We do not at this stage know where these redundancies will come from or whether it will affect Burton at all but I do understand that this will be a concern to residents.
“Marston’s has a long partnership with our town and I will do all I can to support the business and any constituents that are impacted by this decision.”
It comes after the Competition and Markets Authority (CMA) gave the green light for a merger of Marston’s and brewing giant Carlsberg following an investigation. The move would see the two brewers become the Carlsberg Marston’s Brewing Company.
Both companies are large brewers of beer and cider, as well as offering related services, such as the wholesale supply of their own and other producers’ drinks to pubs and restaurants.
The decision by the CMA follows an investigation into several possible ways in which the deal might harm competition in the supply of beer and cider.