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30th December 2013

Beer Tie – more pubs would close under ANY of the proposed Government pubco reforms – BBPA comments:

Brigid Simmonds, BBPA Chief Executive:



“The analysis published today by DBIS from London Economics confirms our key concern; that the introduction of a guest beer, or free-of-tie options would cost thousands of jobs and close thousands of pubs [see table 1 page vi].


 “In fact, none of the scenarios considered would benefit our sector, either in terms of jobs or pubs.”




“As the report acknowledges, real progress has been made with self-regulation; we will continue to make the case that pubs operators and licensees, working together to enhance self-regulation, represents the best future for our sector. I hope the Government takes heed of its own evidence.”






For further information and requests for interviews with Brigid Simmonds, please contact:




David Wilson, Director of Public Affairs: 020 7627 9151/07557 436 033


Gareth Barrett, Public Affairs Manager: Tel: (020) 7627 9154


Neil Williams, Head of Media: 020 7627 9156 / 07974 249 779




Notes to editors:




London Economics Report:






 Option 1 – No guest beer

 Option 1 – guest beer

 Option 2 – free-of-tie (all)

 Option 2 free-of-tie (optimised)

Percentage of all pubs closing





Percentage of tied pubs in scope of code closing





Numbers of pubs closing





Number of jobs lost








Report highlights:




“In the estimates we produce of the impact of the consultation, there is a real possibility that each of the proposed policy reforms, except possibly the code without permitting guest beer, instead of delivering the policy objective of ensuring tied tenants are treated fairly, i.e, ‘no worse off’ than free of tie tenants, may lead to the end of a large scale tied pub system”




“almost any policy reform may have noticeable and unpredictable effects.”




“PICAS/PIRRS system, which is the most concrete element of the current voluntary framework, is now becoming an established part of the infrastructure, and appears to be having some effect in starting to address the worst tenant circumstances.”




“The reforms proposed in the consultation will close up to 1,600 pubs.”




The British Beer & Pub Association is the UK’s leading organisation representing the brewing and pub sector. Its members account for 96 per cent of the beer brewed in the UK and around half of Britain’s 49,500 pubs.