Punch pub sale thwarted by investigation

By James Wilmore

- Last updated on GMT

Plans by Punch Taverns to sell-off a popular community pub to housing developers have been thwarted by the BBC. The pubco wants to sell the Cross...

Plans by Punch Taverns to sell-off a popular community pub to housing developers have been thwarted by the BBC.

The pubco wants to sell the Cross Guns in Birmingham to developers - and had submitted an "exploratory" planning application to the council.

But Birmingham City Council has temporarily pulled the application to investigate claims of "inaccuracies" and "misleading" information provided by Punch.

The pubco's application claimed there were 23 pubs within a one-mile radius of the Cross Guns. But the BBC found there were only six.

Punch also claimed that the pub is not a viable business.

"A number of licensees have tried to build a sustainable business at the Cross Guns and, despite our support, have been unsuccessful," a Punch spokeswoman said.

"The current licensee can only claim viability based on unecomomic low rent."

However licensee Craig O'Doherty, who took on the pub two years ago, argues it is a "viable business" and claims Punch has never seen his accounts to know whether it is a sustainable business.

Meanwhile a petition raised by angry locals to help save the pub has gained 341 signatures.

A spokesman for Birmingham City Council confirmed the application had been pulled on the basis of the BBC's investigation and it would go back before the planning committee after the claims are looked at.

The Punch spokeswoman added: "We would like to stress that we never had any intention to mislead the planning authority and our application was submitted in good faith based on data from an industry leading third party.

"We have made every effort to ensure that the facility is available to the local community while we explore longer term options for the site, which is why we let the pub to the current licensee on a short term agreement with a low rent and a free of tie deal."

The full version of the Inside Out programme is available on the BBC's iPlayer here

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