The Scottish Beer & Pub Association (SBPA) has expressed its disappointment at the decision by MSPs not to reject outright the highly damaging Tied Pubs (Scotland) Bill, saying that more red tape and uncertainty is the last thing the industry needs at this time.

The vote – which ignores the Economy, Jobs and Fair Work committees’ recommendations and the independent CGA study – risks burdening pubs with additional red tape and creating extra costs for both pubs and taxpayer.

Commenting, CEO of the SBPA Emma McClarkin said:

“This decision today is absolutely devastating for the industry and comes at the worst possible time.  This Bill is completely unwanted, unneeded and economically damaging. It does nothing to support the sector, whilst it’s going through the biggest crisis it has ever faced.

“We will of course work constructively with MSPs of all parties at Stage 2, however there should be no doubt; by voting for this proposal, MSPs have added an enormous amount of uncertainty for business, which will only result in pub operators losing out on much-needed investment.

“Unless fundamental changes are made at Stage 2, pubs in Scotland now face being at a severe disadvantage to pubs elsewhere in the UK, risking the pace of recovery as we look to come out of the Covid crisis. Tied tenants are rightly questioning why politicians are focusing on punishing them with more regulation and red tape, when the industry is already on its knees.

 “It’s especially surprising MSPs have decided to back this Bill, as no meaningful evidence has been provided to indicate a problem. A Scottish Code is already in place for pub tenants, which has only received one single complaint against it since its launch four years ago.  

“The Economy Committee’s report also concluded that there was no evidence of a need for legislation.

“The only independent study into the issue, commissioned by the Scottish Government in 2016, is also being ignored. It is quite clear that this is a solution to a problem that doesn’t exist. MSPs will need to explore in the detail the technical feasibility of this proposal, the legality of such an intervention into contract law and show clearly why taxpayer money should be spent on setting above an expensive public body to oversee this code.”

Pub tenants, whom the Bill seeks to ‘support’, are also unhappy with the proposals. Speaking ahead of the vote, Andrena Bowes, who runs eight pubs across Edinburgh, the Lothians’ and Fife said:

“The Coronavirus has devastated the pub sector and politicians should be focused on that, not wasting time on proposals which aren’t wanted and definitely not needed.

“As a tenant under the tied model, I can speak personally of its success and joint-partnership model, which sees a sharing of the rewards and responsibilities.  

“During the pandemic, my pub company has provided constant advice, support, reimbursement for unusable stock and have also written off rent, which without would have forced us to close our doors for good.  

“The news that this proposal is even being considered in light of the pandemic makes you want to cry. Hospitality businesses are begging for meaningful economic support that could save their livelihoods and jobs of their staff, and politicians are wasting time discussing technical rules which impacts a tiny minority of pubs. 

“Above all, pubs need certainty, but Neil Bibby’s Bill removes what little certainty we had at this time.”