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Pub 2610 p01 22/10/09 13:35 Page 1
Proud of Pubs
Monday 26/10/09 www.thepublican.com
PUBLICAN BEER GROWING
LOCAL MATTERS FOOD
A look at the pubs in Wet-led can thrive – as Ideas to drive your
London’s Camden the Woodman shows food business forward
THIS WEEK P.14-15 DRINKS P.26 FOCUS P.49-52
NO ACTION
FIGHTING FOR THE
ON THE TIE
RIGHT TO ENTERTAIN
OFT rules there is ‘no evidence’ the
tie harms competition in the sector
By Matt Eley and James Wilmore Simmonds. She said: “The BBPA is
news@thepublican.com very pleased the OFT has announced
a clean bill of health for the pub sec-
NO FURTHER action will be taken by tor. We have always thought that a
the Office of Fair Trading (OFT) to thorough, dispassionate study
address the beer tie, after it ruled of the evidence would deliver this
there was “no evidence” the tie harms conclusion. We will now continue to
consumers. press ahead with implementing our
The decision was outlined in a agreed reform package to improve
response to CAMRA’s ‘super-com- transparency and openness between
plaint’ which raised concerns that licensees and pub-owning companies.”
high beer prices and rent set as part But CAMRA chief Mike Benner
of the tie have a detrimental effect on slammed the OFT and has urged the
pubs and their customers. government to step in to refer the
In its 90-day investigation the OFT matter to the Competition Commission.
found freehouses are likely to charge “It is difficult to see how the OFT can
around eight pence less for a pint of argue competition is working well in
lager than tied pubs, but said there the sector when demand is falling, yet
was good competition in the sector. prices are rising,” he said.
OFT goods group director Simon “Urgent action is now required by
Williams said: “We understand that government to stem the flow of pub
our response to CAMRA comes at a closures, build a sustainable future
difficult time for the industry, but the and ensure consumers get a fair share
evidence indicates that consumers of the benefit from tied agreements as
benefit from a good deal of competi- demanded by competition law.”
tion and choice within this sector.” And Association of Licensed
Options open to the OFT included Multiple Retailers chief Nick Bish
undertaking a full market report said he was “very disappointed”.
or referring the matter to the Com- “We believe CAMRA made a good Music pubs with a capacity of 100 or fewer people will no longer need a licence to host gigs,
petition Commission, but it opted to case for the OFT to conduct its own if government plans are approved. The government has confirmed it will consult on proposals
take no further action. It added that thorough study into the impact on to offer an exemption on live music to small venues – following pressure from campaigners.
concerns about rents and beer prices consumers of supply deals in the pub The plan is also a victory for The Publican’s Listen Up! campaign, which has been pushing for
needed to be resolved within the sector and regret very much that it the government to relax licensing laws on live music. As The Publican went to press, cam-
industry or by “other relevant bodies”. has decided not to do so,” he added. paigners had gathered on Parliament Square calling for action for fairer treatment on live
The decision was welcomed by the music, prior to a licensing debate in the House of Commons. But on the government
British Beer & Pub Association’s • For more on the OFT response turn announcement, Lib Dem MP Don Foster said: ‘It’s just further consultation, it’s not good
(BBPA) chief executive Brigid to page 5. enough.’ The police and councils are also likely to oppose the plans.
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