Boost for pubcos at investigation's evidence session

Pubcos were given a boost in the second oral evidence session of the Trade and Industry Committee investigation into the beer tie.

Represented by the British Beer and Pub Association (BBPA)the pubcos were given the opportunity to defend claims from the first session that the beer tie was unfair.

During the session at Portcullis House in Westminster, London, BBPA pub & leisure director Dr Martin Rawlings claimed only a minority of licensees were unhappy with pubcos.

Dr Rawlings said: "There are 33,000 tenancies and there might be 1,000 complaints. There are some who always struggle and some who don't follow best practice. That is not to say the market doesn't work, it is working well for other parties."

At one point in proceedings committee chairman Martin O'Neil appeared to criticise pubcos for the "shabby manner" in which they are treating some tenants.

Also giving evidence was Tony Payne, chief executive of the Federation of Licensed Victuallers' Associations, who added: "Pubcos need to do more to look after the pubs at the bottom end of the market."

The Association of Licensed Multiple Retailers also gave evidence with chief executive Nick Bish and chairman Alex Salussolia both speaking.

In the first session on June 22 licensees had lashed out at pubcos and the beer tie.

Three publicans holding tenancies with either Punch or Enterprise attacked the beer tie and called pubcos "arrogant" and "bullies" as they addressed MPs.

Related articles:​

Licensees fight back at committee meeting (22 June 2004)

Pubcos under fire in the Commons (22 June 2004)

Hearing on beer tie investigation (15 June 2004)

MPs' probe swamped with evidence (7 June 2004

FSB attacks pubco profits (3 June 2004)

Parliamentary probe into pubco-tenant relationship (7 May 2004)