More pubcos seek clarity

More pub operators will submit their lease codes of practice to be accredited for clarity after final details emerge of the Government's mandatory alcohol retailing code.

That's according to the BII, which this week also revealed its developing a new qualification for incoming tenants and business development managers.

The news is included in the BII's submission to the Office of Fair Trading for the new study into pubcos, triggered by the Campaign for Real Ale's "super complaint".

BII chief Neil Robertson said there's "clearly concern amongst the majority of members I have spoken to regarding the tie".

A key issue is "high rents which do not reflect changing trading conditions". He said: "If rents were deemed to be fairer, the issue of the tie would take on less significance."

But he said "we don't believe government intervention would be helpful at this stage".

The submission points to action taken by BII and others since the damning Business and Enterprise Committee report into pubcos, including the pending launch of the low-cost Pub Independent Rent Review Scheme.

The MA reported earlier this week that the BII is to strengthen its BIIBAS scheme, which accredits pubco lease codes of practice for clarity. For example, codes will need to be re-accredited annually.

Robertson pointed out in the OFT submission that a new operator, St Austell, had received the BIIBAS stamp since the BEC submission.

"Others are awaiting the outcome of the Home Office consultation on the mandatory code before submitting codes of practice since it is likely to change their approach." The code is likely to include new training requirements.

He revealed: "We are developing a new qualification aimed at those contemplating taking on a lease or tenancy for the first time. Also the work will include BDM qualification to further enhance support to our members who lease from a Pub Company/Brewery."

The OFT has until the end of October to decide what action to take.