The code will be called the ‘Tied Tenant Framework Code’ and will allow licensees to present their pubco with their own version of how the two-way relationship should work. It is likely to include information on how there should be a balance between risk and reward.
It is thought that the tenants have set up their own code after taking legal advice on contract law.
Team leader of the Pubs Advisory Service, Chris Wright, said once the code had been finalised it would be hosted on its website for licensees to download.
He said: “It would seem the law is quite clear that a code of practice can be written and not have to be signed.”
This is thought likely to cause confusion as a range of trade associations are currently working to finalise version six of the IFC.
Earlier this month the minister in charge of the pubco-tenant relationship deal Jo Swinson washed her hands of the self-regulation agreement claiming the comittments made "have now all been achieved".