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Landmark ruling on insurance a boost to pubs and brewers
BBPA welcomes UK Supreme Court judgment meaning insurers will have to pay out on business interruption insurance The British Beer & Pub Association (BBPA), the leading trade association representing brewers and pubs, has today welcomed the UK Supreme Court’s judgement that insurers will have to payout on business interruption insurance. The BBPA has been very vocal and public in its support for the case to make insurers payout, which was led by the Financial Conduct Authority. A BBPA member survey back in May 2020 found that 56% of sector businesses had claims for Business Interruption cover rejected. Separate research from the British Institute of Innkeepers in the same period found that just 3% of pub businesses had been successful in receiving a Business Interruption insurance claim. Emma McClarkin, Chief Executive of the British Beer & Pub Association, said: “This landmark ruling is great news for pubs and brewers who hadn’t received payouts on Business Interruption insurance thus far. It is a glimmer of hope in what is an incredibly tough time for our sector. “The lack of payouts over insurance claims has added to the terrible woes and uncertainty our sector has faced over the last 10 months. It is why the BBPA backed the FCA in its campaign to resolve the issue. “While our sector is far from out the woods yet, this announcement helps resolve some of the uncertainty it has faced on insurance cover and is warmly welcome.”
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Pubs will be calling ‘mayday’ if they cannot reopen until May
BBPA says far more financial support from Government will be needed if pubs are not to open until May The British Beer & Pub Association, the leading trade association representing brewers and pubs, has today responded to speculation that pubs may be forced to stay closed until May. The trade association has said pubs across the UK will be lost for good if they cannot reopen until May 2021 and do not get extended financial support from Government. The trade association has also said the Government needs to be clear on its roadmap for the reopening of pubs. Emma McClarkin, Chief Executive of the British Beer & Pub Association, said: “We really hope that the speculation about pubs being forced to stay closed until May is not true. We strongly believe that pubs are safe places to socialise and can play an important role in our social and economic recovery. “If pubs are forced to stay close until May, it would mean they have faced 14 months of lockdowns and restrictions. How on earth could the Government expect them to survive? “UK pubs will be screaming ‘mayday’ long before a May reopening without significantly more financial support from Government. “Sadly, these rumours are another example of the unfair targeting of pubs and have no thought for hardworking publicans and communities across the country who fear the loss of their homes, livelihoods and heart of their communities. “The Government has a duty to tell publicans when it plans to let them reopen with a clear roadmap alongside the vaccination programme. If it won’t be until May then it needs to extend financial support for them to survive and to brewers whose businesses also face jeopardy. “In the more immediate future this means an extension to the Chancellor’s latest grant support package and not just for pubs, but also breweries. In the longer term it means extensions to the Business Rates holiday and VAT cut, as well as a beer duty cut throughout 2021 and beyond. “Without such support, local pubs in communities across the country will be lost forever. We hope though that we can open safely and serve our customers and communities as soon as possible.”
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Third lockdown adds to woes of pubs
BBPA responds to third lockdown announced for England, urges Government for comprehensive pub support package The British Beer & Pub Association, the leading trade association representing brewers and pubs, has today responded to Prime Minister Boris Johnson’s announcement that England is to go into a third lockdown. Emma McClarkin, Chief Executive of the British Beer & Pub Association, said: “A third lockdown is yet another blow to our sector. Particularly after it has faced an abysmally quiet Christmas and New Year’s, which saw many pubs remain closed over what is meant to be their busiest time of the year. “The announcement today adds to the woes of pubs as it shows they are a long way from reopening properly. The road to recovery for the pub sector just got longer. “Given the circumstances, a wave of business failures is imminent unless a greater package of financial support from the Government is given to secure pubs and the brewers that supply them. That means grants in line with those in the first lockdown and support beyond April when the business rates holiday, lower VAT rates and furlough scheme all end. “Having made it this far through the crisis, it would be disastrous if the Prime Minister didn’t now deliver the support our sector needs to ensure it makes it through to Easter when we hope to return back to normality. “Without such support, this lockdown will just tip pubs over the edge meaning jobs vital to communities across England will be lost forever to the detriment of the economy in the long term. “Ultimately we know that pubs will eventually be a part of the way out of this crisis and back to normality. Some are even offering themselves up as vaccine hubs, which drives home the fact losing them would do untold harm to our communities.”