Punch Taverns ring-fences troubled pubs

Punch Taverns is set to create a separate division to oversee the most economically challenged pubs across its estate.

As well as the creation of the new operating arm Punch intends to reduce the number of leased pub divisions from the current eight to four.

The operator had already stated it wants to cut overheads and would be making a number of changes to its leased operations structure and central support teams.

The new division will be created "to drive additional focus on our more marginal pubs operating in difficult market conditions".

Punch did not say how many pubs would be corralled into the new operation.

"As part of our commitment to adding value for our leased customers and pub managers, we will be creating one new contact centre team, the 'Punch Contact Centre' which will combine the services currently provided by The Hub, Frontline and Telesales," it said in a statement.

"In addition, there will be a number of changes within our property, IT and group human resources teams which will allow us to improve the service that we deliver to our customers and pub teams.

"We are continuing to consult with a number of central support teams and will keep them informed of our proposals on an ongoing basis."

Punch recently announced it was putting all support staff across its business in consultation with a view to reducing the staff headcount by around 100 roles.

Early casualties included commercial director Jonathan Paveley, strategy director Tracy Jones and Nigel Turpin, corporate affairs director.

The three would leave the group "in the coming months", Punch said.