Punch warns licensees to "think carefully" before taking industrial action

Punch Taverns has warned its lessees to "think carefully" before signing up to the GMB's call for tied tenants to take industrial action against their landlords.

Last week the GMB, one of the UK's largest trade unions, said it was canvassing more than 20,000 tied tenants with a view to getting them to join the organisation and vote on taking action against their landlords to protest at the high cost of beer supplies.

The GMB said that the average tied pub was overcharged by around £12,000 a year for beer supplied by its landlord and action taken after a 'yes' vote could include an organised 'buying out' programme, a move which could see tenants in breach of their lease.

In a statement issued last week Punch said it accepted the recessionary environment was making trading "challenging" for some of its licensees.

The company went on: "In recognition of this, unlike conventional commercial landlords, we provide financial support for our partners which currently amounts to £2m per month."

"Any licensees considering taking strike action through the GMB should follow the advice from licensee representative bodies such as the BII and the Federation of Licensed Victuallers Associations who are encouraging members to seek legal advice and think carefully before taking any action which may breach their contracts," Punch added.

Punch said it had supported more than 3,000 of its leased pubs in 2009 and it urged licensees to speak to their business relationship managers (BRM) about the issues affecting their business "so that we can look to provide support".