London & Edinburgh licensees need support

London & Edinburgh Swallow Group (L&ES) licensees have slammed the company for failing to help them as it slid into administration. The...

London & Edinburgh Swallow Group (L&ES) licensees have slammed the company for failing to help them as it slid into administration.

The Publican received frantic calls from licensees unable to contact anyone at their head office and forced to buy outside the tie because they are unable to get beer deliveries.

L&ES went into administration on September 14 leaving 489 tenanted pubs and 118 managed pubs unsure of their rights.

Darren Tingle, licensee of the Old Captain's House in Bigrigg, Cumbria, said he has been unable to contact anyone at the company or the administrator to ask for guidance.

"I am one of its tenants but all the drink supplies have been frozen. It is forcing us to buy outside the tie. We have just taken on the tenancy and have spent £40K doing it up," he said.

"I have been calling to find out what is going on but there is no communication whatsoever."

Scottish & Newcastle UK, which delivers on behalf of 12 drinks companies, was in discussions with the administrator Ernst & Young to re-establish its supplies. This morning it was confirmed that telesales were being re-established and licensees could expect their first deliveries on Monday.

Adrian Pearce, licensee of the Coach and Horses in Beedon, Berkshire, said he has been unable to contact anyone and has no idea whether to stop his direct debit payments to the company.

"I sat here in the pub waiting for my drinks delivery which never came. I have tried to call L&E and get no response. I have no area manager now and have been forced to buy outside the tie."

A spokeswoman for Ernst & Young said: "The tenancy agreements remain in place and tenants should continue to pay rent as normal. Any supplies require pre-payments, however, the administrators understand the supply problems that are affecting tenants who have a business to run and tenants are likely to make alternative arrangements for business continuation."

Rumours have been circulating that 150 pubs were about to close as The Publican went to press.

BOX OUT

Any licensees who wish to contact Ernst & Young should email ey@londoninns.com.

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