The IFC is part of the self-regulation agreement between the Government and the British Beer & Pub Association (BBPA) to manage the pubco/tenant relationship.
The latest version of the framework code – version six - is being formulated after discussions with the BBPA, BII, Association of Licensed Multiple Retailers (ALMR) and licensee trade body Federation of Licensed Victuallers Associations (FLVA). However, all groups involved have yet to endorse the latest code. Last week the BII endorsed the latest version despite admitting there is “further work to be done”.
Chair of the Group, Greg Mulholland MP said: “It has now been a whole year since the publication of the Business Innovation and Skills Select Committee Report on pubcos, which highlighted the need for a statutory code to redress the crux issue within the pub sector and that is to balance risk and reward between tenants and licensees and the pubcos, and we still have no code and no agreement on drafts.
“The BBPA and the Government promised this new code would address this in their response and the Minister at the time, Ed Davey, proudly announced that the new ‘strengthened’ code would be in place by Christmas last year.
“It is absolutely farcical that we are now on draft version six and the small group of organisations involved in the negotiations still can’t come to agreement.
“We should also be clear that this new ‘strengthened’ code will fundamentally do nothing to address the issue of risk and reward and the pubcos will continue to take more from tenants and licensees than is reasonable."