Statutory code: BBPA says proposals will create “unnecessary red tape and bureaucracy”

British Beer & Pub Association (BBPA) chairman Jonathan Neame has expressed disappointment at news that the Government plans to introduce a statutory code of conduct for pubcos supported by a code adjudicator, saying that self-regulation has not been given a proper chance to work.

The BBPA said the move will create “unnecessary red tape and bureaucracy” and said the industry has made considerable progress in establishing an effective system of self-regulation, with discussions around version six of its code “now at a very advanced stage”. 

BBPA said: “More opportunities should have been given for these reforms to work. The introduction of the PIRRS and PICA Services, with their low cost arbitration for rent and other complaints against pub company individual codes, has been acknowledged as professional and effective. A Government-appointed adjudicator will be costly and the association looks forward to seeing the details of the reduction in other red tape required by the Government’s ‘one in, two out’ rule.”

Neame, chief executive of brewer and pub operator Shepherd Neame, which won’t be subject to statutory regulation because it operates fewer than 500 tied leaseholds, said: “It is disappointing that self-regulation has not been given a proper chance to work, after all the hard work from the BBPA, ALMR, FLVA, BII, and other industry colleagues on Version Six of the Code of Practice.

“However, today’s announcement does at least provide some clarity and certainty over the direction of policy. In the consultation, we will be urging the Government to ensure that any statutory process is light-touch and cost-effective, to protect consumers from bearing the brunt of unreasonable additional costs.

“BBPA members are working continuously to evolve the services and support they give to their licensee partners to ensure that tied houses offer the best investment opportunities in the pub market.

“We hope that pub goers, beer drinkers and all those who are passionate about the future of Britain’s pubs will now work with us to lobby the Chancellor for a fairer tax system, to stimulate investment and job growth in our sector so that pubs remain a vibrant hub in our communities for generations to come.”