Hopes raised by PPL refunds

By John Harrington

- Last updated on GMT

Cash back: money from PPL
Cash back: money from PPL
Licensees and operators have been given renewed hope of swift refunds from music licensing body PPL after two major managed operators each reclaimed...

Licensees and operators have been given renewed hope of swift refunds from music licensing body PPL after two major managed operators each reclaimed hundreds of thousands of pounds.

Punch has claimed back £500,000 for its managed pubs. A spokeswoman for Town & City Pub Company, which has 227 managed pubs, said a "six-figure sum" has been reclaimed.

Another managed operator, Orchid, claimed back £50,000 to £80,000, said a spokeswoman.

But the Morning Advertiser has learnt that while large managed pubcos have put in claims for backdated fees and are awaiting payment, individual licensees and smaller multiple operators have been slower to act.

Last October the Copyright Tribunal said PPL overstepped the mark when it raised fees for playing background music by up to 403% in 2005. As a result, PPL had to make full refunds, backdated to 2005, to licensees and pub operators.

It could amount to around £10m for pubs.

The process of making claims was delayed by PPL's High Court appeal, which was rejected in February.

A spokeswoman for Punch, which has 823 managed pubs, told the MA: "Our managed estate has claimed back £500,000 from PPL.

"However, we have not claimed back for the leased estate as this is the responsibility of our partners, and as they have paid the fees for the licence, they would be the responsible person to secure any refunds."

Derek Andrew, boss of Marston's managed pub estate, said he hoped to hear back from PPL some time in September.

"We've already paid next year's fees up front," he said. "We've submitted documentation to them to review and respond with recommendations of [the amount to

be paid]. They've got 56 days to come back to us with a proposed settlement, which we will analyse and respond to."

Trade accountant David Jones, who works for individual licensees and small multiple operators, said: "We deal with about 200 outlets and I haven't come across a single person who has [submitted claims with PPL].

"People are facing so many other issues at the moment; perhaps it's not at the front of their minds."

The action against PPL was headed by the British Beer & Pub Association and the British Hospitality Association, whose deputy chief executive Michael Couchman said: "We are keen to encourage people to reclaim money, particularly the smaller operators. It's their money and it's important they claim it back."

Couchman said 41,000 licensed venues are covered in the background music tariff. However, only around half will be eligible because no refund under £50 per site will be made.

PPL declined to comment on the sum paid out so far.

For advice on how to claim PPL refunds, visit www.beerandpub.com.

- Have you successfully claimed money back from PPL? Email john.harrington@william-reed.co.uk or call 01293 610481.

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