Mulholland backs licensees against banks

Pro-pub MP Greg Mulholland has taken up the cause of licensees who say banks won't lend to any pubs.

The chairman of the All-Party Parliamentary Save the Pub Group has written to the Chancellor expressing "deep concern" about banks' "shocking and discriminatory" actions that could cause pubs to close.

He's also lodged a petition on the subject for MPs — signed by 32 to date.

The Leeds North West MP had read stories in the Morning Advertiser​ about licensees saying major high-street banks tell them they have blanket policies of not lending to pubs.

This is despite being bailed out by the tax payer on condition they lend to small firms. The banks have denied they have such policies.

Mulholland's letter to Alistair Darling said: "I am very concerned to hear reports that licensees and pub owners have approached their banks — reputable high street names — for credit only to be denying reportedly on the grounds that it is not the policy of these banks to lend to pubs.

"Pubs are often depend on such credit lifelines in order to stay afloat. If these reports are accurate, then for banks to have a policy of not lending to pubs is not only be both shocking and discriminatory, but could lead to many pubs simply disappearing.

"This must be urgently examined, and if these reports are true, then action must be taken to force banks to reverse these policies and extend credit to pubs in exactly the same way that they would lend to other small business."

The Liberal Democrat MP's Early Day Motion petition expresses "disappointment" that banks don't appear to be listening to Treasury demands to loan to pubs.

It "believes that action should be taken to ensure that banks extend credit to pubs, as they would other small businesses".

Evidence of MA readers being told banks have blacklisted pubs will be presented to five senior ministers at an All-Party Parliamentary Beer Group meeting in Parliament this afternoon.

Unacceptable​

Blanket refusals by bank to lend to pubs is unacceptable. And now is the time to lobby for action.

The MA wants the Government to put pressure on banks to start loaning to viable pub businesses — and honour its commitment to lend to small firms as part of the tax payer's banking bail-out.

Contact your MP and urge them to sign Mulholland's EDM, number 920. Visit www.theyworkforyou.com​ and enter your postcode to get their email details, or write to them at the House of Commons, London SW1A 0AA.

The scandal has sparked interest among the national newspapers — and we need more people to get in touch to increase pressure on the banks and Government to act. If your bank says it won't lend to pubs, is withdrawing credit or taking other punitive measures, email wbua.uneevatgba@jvyyvnz-errq.pb.hx​.

London licensees are being sought in particular.