CAMRA - Campaigning for Real Ale, Pubs and Drinkers rights since 1971

CAMPAIGN FOR REAL ALE

Campaigning for Real Ale, Pubs and Drinkers' rights since 1971


Last Chance Saloon for Large Pub Companies to Reform

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Press Release
Last Chance Saloon for Large Pub Companies to Reform
CAMRA Responds to Select Committee Report on Pub Companies



Issued: Thursday March 4th 2010


Status: For immediate use


Last Chance Saloon for Large Pub Companies to Reform
CAMRA Responds to Select Committee Report on Pub Companies


House of Commons CAMRA, the Campaign for Real Ale, has welcomed today's Business, Innovation and Skills Select Committee Report on Pub Companies which demands major reform in the way the Large Pub Companies operate and threatens statutory intervention if these reforms are not implemented voluntarily by June 2011. The Committee also urges the Office of Fair Trading to look more carefully at the issues involved as it responds to CAMRA's super-complaint for the second time.

In addition to today's Select Committee Report the Liberal Democrats have indicated that they will pursue radical reform of the Beer Tie in the next Parliament, including a free of tie option and a guest beer right.

Mike Benner, CAMRA Chief Executive, said:

‘The Large Pub Companies are now in the last chance saloon. The pub sector has had long enough to deliver self regulation and failed. They either voluntarily reform to ensure a fair deal for consumers or risk potentially punitive intervention from the Competition Authorities and Government.

‘CAMRA is demanding that the Large Pub Companies act immediately to allow their licensees the option of selling one guest real ale purchased at free market prices. Given the popularity of locally brewed real ale it is simply crazy that most pub licensees are prevented from buying beer from their local brewers. The Large Pub Companies should also agree to a legally binding code of conduct and move quickly towards offering all their lessees a free of tie option at a fair rent.

‘Over half of the UK's pub licensees are prevented from buying beer on the open market at freely negotiated prices and the Large Pub Companies are exploiting this to charge licensees between 40% - 45% more than free market prices. These artificially inflated prices are passed onto consumers in the form of higher prices, reduced investment in pubs and pub closures.'

ENDS


Notes to Editors:

- CAMRA defines a Large Pub Company as one which owns more than 500 pubs.

- CAMRA's Tracking Omnibus Survey: February 2010 revealed strong support for locally brewed beers. 85% of real ale drinkers felt it was important support local producers including locally brewed beer.

- Details of CAMRA's super-complaint are available at www.camra.org.uk/supercomplaint

For further information:

CAMRA Press Office, 01727 798443
Mike Benner, CAMRA Chief Executive, 07971 591224



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