Asking for help?

By Hamish Champ

- Last updated on GMT

Here are two quotes from past issues of The Publican. "Fears of redundancy, particularly among white collar workers, are likely to induce cautious...

Here are two quotes from past issues of The Publican​. "Fears of redundancy, particularly among white collar workers, are likely to induce cautious spending." And "National Licensed Victuallers' Association organisers hope to… highlight the pressures being placed on publicans over long leases and high rents."

These are not from recent editions, but from two issues back in September 1991, reminding me that what the industry is experiencing now it has been through before.

That said, Blue Oar Securities' (BOS) recent forecasts for average tenant profitability make for grim reading. BOS stresses not all pubs will be so badly hit, but the pubcos' more vocal critics will leap on the numbers as evidence the model must be overthrown.

Yet others wonder what operator in their right mind would ignore the issues and do nothing to help? A number of companies are offering support, and if individual licensees choose not to accept it then that's their look-out, they say.

One industry observer also suggested to me last week that if the 'moaners' spent more time running their pubs and less on their PCs emailing the trade press about how crap everything was then maybe their pubs would succeed.

True, failing businesses do not have a right to be bailed out. But as I mentioned last week, one senses a growing number of hitherto successful licensees becoming mired between an upward spiral of rising costs and a downward one of declining sales and profits.

In which case, they will have to work harder and more imaginatively to get punters through the door. And perhaps they should shelve their pride and accept what assistance is offered, where before they would rather have not.

Such a strategy might not be suitable for a lot of pubs. They may have to seek help elsewhere, perhaps from a 'friendly' bank, although I've heard of banks closing their ears to pleas for support too.

Then there's the suggestion that the government be urged to offer some form of subsidy to threatened pubs that form the heart of their communities.

With the political climate changing on the issue of pubs for some there is a growing sense of action looming on the horizon.

In the meantime, however, I can only repeat what will doubtless become a mantra in the months to come: landlord and retailer working together is the way forward.

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