Enough is enough, say Sky customers

Furious licensees and pub industry groups have rounded on Sky over its latest 11 per cent price hike - which is three times the rate of inflation....

Furious licensees and pub industry groups have rounded on Sky over its latest 11 per cent price hike - which is three times the rate of inflation.

Coming at the same time as the smoking ban, pubs on a tight margin say they are now facing a tough choice over whether to keep Sky.

Sharon Handford, licensee at the Legh Arms in Knutsford, Cheshire, said: "It's absolutely infuriating. It feels like they are doing us no favours at all with the rise being way above inflation again.

"We are going to have to look seriously at whether we can still afford to have Sky."

Peter Plawden-Wardlaw, licensee at the Sebright Arms, Worcester, said he would probably cancel Sky now.

"Many of my customers are smokers and they are talking about getting Sky at home so they don't have to keep popping outside," he explained.

The Association of Licensed Multiple Retailers (ALMR) said Sky was now in danger of "killing the goose that lays the golden eggs" with the increase which takes effect on September 1. It follows last year's 13 per cent hike.

Nick Bish, chief executive of the ALMR, said: "It is going to become increasingly difficult for all but the largest, sports-led bars to make a profit from Sky programming.

"It will tip many pubs over the edge in terms of a lack of profit."

Tony Payne, chief executive of the Federation of Licensed Victuallers' Associations, said: "Again this price hike is way above inflation."

Payne called for Sky to extend its deadline on reduced rate subscriptions its Football+ package, which replaces Prem Plus, to help licensees who are concerned about the possible downturn in trade following the smoking ban.

Sky had previously offered pubs the chance to freeze their subscription prices at last year's rates if they signed up to the Football+ package before June 22.

A spokeswoman for Sky said: "Our pricing reflects both the increased cost of programming, particularly football - which actually bears no relation to the cost of inflation - and the commercial value of our programming to our customers.

"By linking our pricing structure to rateable values of pubs we take account of the fact that pubs and clubs vary considerably in terms of their size and potential audiences for Sky programming."