General / 18 November 2014

Pub Code legislation – changes made by MPs today are ‘hugely damaging’ says BBPA

Commenting on the Report Stage of the Small Business Bill in the House of Commons today, Brigid Simmonds, BBPA Chief Executive, said:

“This change effectively breaks the ‘beer tie’, which has served Britain’s unique pub industry well for nearly 400 years. It would hugely damage investment, jobs, and results in 1,400 more pubs closing, with 7,000 job losses – as the Government’s own research shows.

“There are serious legal and competition issues which must be faced, as it rides roughshod over what are previously agreed contracts, and creates an unworkable, two-tier market.

“I hope Parliament will rethink as the bill continues its progress.

“On the issue of family brewers remaining outside the scope of the Code, we have always taken the view that their inclusion is not necessary, provided that this does not result in a distortion to competition.

“As the Government is now saying it will not include these smaller companies it needs to ensure a level playing field throughout the legislation.”

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