Pubco-tenant debate heads to House of Commons tomorrow

The Business, Innovation and Skills Committee (BISC) submitted a motion to have the issue debated in the House and MPs will be able to vote on the issue.

The BISC report called for a Statutory Code of Practice and an adjudicator to manage the relationship between pubcos and tenants.

However, business minister Ed Davey supported self-regulation and agreed a deal with the British Beer & Pub Association (BBPA), supporting a strengthened Industry Framework Code (IFC) which will be legally binding, a Pub Independent Conciliation Advisory Service and a three-year accreditation service for company codes of practice.

BISC chairman Adrian Bailey is set to head up the debate and will call for a vote among MPs. He is expected to call for a free-of-tie option with an open market rent review to be included in any code of practice and ask the Government to commission a review of self-regulation of the pub industry in the autumn of 2012. This would to be conducted by an independent body approved by the BISC.

As per the agreement with the Government, the BBPA published its strengthened IFC in December, which sets out the minimum standards and requirement tenants should expect from their pubco.

However, the Federation of Licensed Victuallers Associations (FLVA), which worked with the BBPA and BII (British Institute of Innkeeping) on the revised code, warned “much work remains to be done” and admitted that a further substantive industry code “that time did not permit” will be worked on during 2012.