Covid-19 / 15 March 2021
SBPA reveals devastation to pubs and brewers one year on from first COVID-19 lockdown, reiterates Government must ensure pubs can operate without restrictions as soon as possible One year on from the First Minister ordering the first COVID-19 lockdown, which forced pubs to close, the Scottish Beer & Pub Association has revealed the devastation the nations’ brewers and pubs have faced. The trade association has revealed that 200 pubs are estimated to have been lost forever, 210 million pints in beer sales lost due to a full year of either forced closure, or trading under severe restrictions, and £820 million in trade value wiped out from the sector in beer sales alone. Since the first lockdown in March 2020, pubs and other hospitality businesses have been amongst the hardest hit. They have also faced severe restrictions to their trade during other periods of being “open”, including level restrictions that ultimately forced many to stay shut or open but under conditions that made their trade unviable due to the closing times and other rules. Looking ahead to the First Minister’s expected announcement tomorrow, the SBPA has urged the Scottish Government to give the sector hope by aligning closely to the unlocking plans in England, which indicate that pubs will reopen outdoors from April 12th, followed by indoors from May 17th and with all restrictions lifted by June 21st. Emma McClarkin, Chief Executive of the Scottish Beer & Pub Association, said: “Our sector has been devastated by COVID-19 and the lockdowns. It has been a year to forget for the Scotland’s pubs and bars. “It is estimated that 200 pubs have been lost forever. 210 million pints in beer sales have also been missed, wiping out £820 million in trade value from the sector. “Sadly, we still haven’t seen the full extent of the damage yet and won't do for some time until things really do go back to normal. And by normal, I mean a return to what life was like pre-covid. “Whilst we continue to assess the full damage to our sector, I urge the First Minister to give our businesses the hope that they desperately need by providing a viable route out of lockdown tomorrow. The previously levels were entirely unviable for the majority of hospitality businesses, and they are desperately hoping for a more straight-forward approach to unlocking this time. “We also hope the Scottish Government will look at providing more support for our wet-led community pubs who, although grateful for all the support they received, will not benefit from the VAT cut to food in the same way restaurants will. Local wet-led pubs have been amongst the worst affected by the virus so it's important the Government goes that little bit further for them. “It is becoming all the clearer that the Government must ensure all our pubs are fully re-opened as early as safely possible. This is when their recovery will really start and until then we stand to lose more pubs and community assets.”
Read moreJane Peyton | 20 October 2017
Beer is the world’s favourite alcoholic drink, a lingua franca that connects people across the globe who may have nothing else in common but their love of the fermented cereal gift from nature called beer. I experienced the soft power of beer recently in Ljubljana, capital of Slovenia. I was invited by the British Embassy to participate in a beer festival they organised to celebrate the 25th anniversary of Britain’s recognition of Slovenia’s independence from former Yugoslavia. The UK Department of Trade & Industry had encouraged breweries to send beer and representatives to Ljubljana to meet importers and to introduce locals to British beer. My role was to host a beer tasting tutorial and deliver a seminar about British beer history and contemporary brewing. Slovenia has a burgeoning independent brewing scene and, like so many other countries where the dominant beer is pilsner brewed by multi-nationals, these start-ups are producing styles such as vibrant IPAs and powerful imperial stouts – flavour and ABV are emblematic. The beer festival was well attended by women and men, including importers, intrigued to discover new brands and styles of beer. I spoke to dozens of locals and the overwhelming impression I had was how enthusiastic they were about the festival, the beer they had tasted and the variety of styles. They also told me how much they wanted to visit Britain, go to pubs and drink more British beer. I chatted with several of the British brewers and sales reps who attended the festival and they said they had met importers keen to distribute their beers. Tiny Rebel export manager, Moussa Clark, commented ‘Nothing beats coming to visit, getting to know the market, making connections. Having a laugh and a drink is a great pre-cursor to doing business.’ Congratulations and na zdravje to Dunja Cvek at the British Embassy in Slovenia and to Milan Dragutinovic, owner of production company Magna Carta, for co-producing an excellent event that delivered a weekend of beery fun and happiness, and also enabled a number of British brewers to increase exports to Slovenia. I left the country thinking how powerful beer is in building relationships both business and personal, and what potential it has in encouraging tourism into the UK. It was a terrific experience to be Madame Am-beer-ssador for a weekend and to eulogise about Britain’s beer and pubs. Hura za pivo!
Philippa Borrowman | 18 October 2017
New research conducted as part of the Manchester Metropolitan University and Robinsons Greener Retailing Project has demonstrated the huge potential financial savings for pubs that reduce their food waste. Case studies of three Robinsons pubs: The Harrington Arms, The Ship Inn and the Airport, demonstrated the potential savings which pubs can make over just a four-week period, with all three reporting annual estimated savings of thousands of pounds. Using the ‘Your Business is Food’ calculator tool developed by Manchester Met, these pubs were able to monitor the types of food which were being wasted by separating food waste into three categories – plate waste, prep waste and spoilage. This allowed the pubs to monitor, measure and improve in the areas which were losing them money. The Ship Inn, a tenanted pub in Roose, reported an annual estimated saving of £3,186. Similarly, The Airport managed house, near Manchester Airport, estimated savings amounting to an astounding £4,361, and The Harrington Arms, in Gawsworth, is expected to save around £3,381. The Ship Inn began offering smaller portion sizes to customers and making garnishes optional which led to a reduction of two thirds in plate waste. The Airport now offers coleslaw and sauces rather than automatically giving them. This resulted in the pub using only one tub of coleslaw a day instead of eight. The Harrington Arms, which had many issues with large amounts of prep waste, began using peelers rather than knives when preparing fresh vegetables, as well as opting for buying pre-prepped vegetables. This reduced prep waste by almost a third. The Courtauld 2025 initiative, which the BBPA is committed to supporting, aims to reduce food and drink waste by 20 percent by the year 2025. Reducing food waste is both beneficial for the environment as well as being profitable and good for business. All three Robinsons operators discussed the ease of implementing food waste measures, and all were astonished by the ability to make large savings without taking up too much of the time or energy of their staff. The BBPA is calling on other members to help meet the commitments of the Courtauld 2025 initiative. Through small and easy measures, your business can help to protect the environment, whilst making huge savings. The ‘Your Business is Food’ campaign provides simple tools for you to use to guide you in tracking the amount of food you throw away. The campaign offers tracking sheets and calculators, quick start guides and checklists all of which can be found here. For more information go to http://www.wrap.org.uk/ybifbusiness
Brigid Simmonds | 07 February 2017
You may have seen our story in The Sun at the weekend, as we briefed the paper with a new BBPA analysis on the impact of new cost increases facing pubs. We are highlighting the figures as part of our campaign for a 1p cut in beer duty in the Budget on 8th March. The Sun reported that the overall effect of these changes are equivalent to a ten per cent rise in beer duty, or a 5.3 pence tax rise, on every pint. The full breakdown contains a number of elements. By 2020, the Apprenticeship Levy will add 0.1p per pint, increases in the National Living Wage 2.8p, and auto enrolling pensions, 1.3p. Pubs are also being hit by business rates revaluation, costing 0.6p per pint. This brings the total to the 5.3p quoted in The Sun, equivalent to an 11 per cent rise in beer duty. The cost to a typical pub from these measures is £7,178, or a hefty £374 million across the industry as a whole by 2020. These are very significant cost rises, and action is needed to support pubs. A penny cut in beer duty is one very targeted way of getting help to pubs, at relatively little cost to the Government. As the report rightly highlights, we also need action to business rates. Across the whole economy (in England) pubs generate 0.5 per cent of turnover yet pay 2.8 per cent of the business rates bill. The impact of the recent revaluation means that there are thousands of pubs receiving very high increases in their rates bills. Whilst the introduction of transitional rate relief will help somewhat, pubs with a rateable value of £100,000 or more are facing an increase of 42 per cent . In total, some 15,467 pubs will be paying more in business rates than they were previously. This includes 2,406 pubs that will be paying at least 40 per cent more over the next five years. Pubs pay business rates based on turnover and a huge proportion of their turnover is tax. This is, in effect, a ‘tax on a tax’. Reforms are badly needed to ensure that capital investment in pubs generating greater additional turnover is not penalised by higher business rates.
Jim Cathcart | 01 February 2017
Over two hundred delegates from the trade, police and other stakeholders gathered in Reading for the 14th National Pubwatch conference. For those not in the know, National Pubwatch is the body that supports existing pubwatches, provides guidance and assists in setting up new watches. Pubwatches themselves are voluntary groups set up by licensees working together to promote a safe drinking environment, in partnership with the police and licencing authorities. This year’s conference was special in that 2017 marks the 20th anniversary of National Pubwatch, and the organisation has been key in making licensed premises and the overall night-time environment safer for customers and businesses alike over the last two decades, as the key partnership scheme for pubs. The full story can be found in the 20th anniversary magazine here This year’s conference clearly showed that National Pubwatch was determined not to rest on its laurels. Following the welcome from National Pubwatch Chairman Steve Baker, Thames Valley Police Chief Constable Francis Habgood outlined the force’s experiences in partnership working with licensed premises and the wider impact of the late night sector. He talked about the key role licensed premises have in ensuring vulnerable people (such as those left alone during a night out, or have had too much to drink) are kept safe in the night time economy – a theme followed up by police licensing chief ACC Rachael Kearton who also flagged vulnerability as a key priority going forward for the police, who will want to see the trade taking further steps in this area. The trade view came from the BBPA’s very own Andy Tighe, who highlighted the social, economic and employment benefits of the UK’s vibrant pub sector, the current challenges faced, and the work done by industry over recent years, and continues to do, to tackle alcohol-related harm and promote responsible retailing and local partnerships . Andy also showcased the current initiative from the BBPA aimed at raising awareness on the law around serving and buying drinks for those who are drunk, in partnership with National Pubwatch and Drinkaware - include social media resources and point of sale material which can be found downloaded free of charge on the BBPA website. Andy’s presentation can be found here This was followed by annual awards for outstanding individuals who have supported pubwatches across the country. The day continued with the break-out sessions, a hallmark of National Pubwatch conferences that really allows delegates to get close to current issues with key speakers and plenty of opportunity for questions, answers and debates. Stephen Walsh QC shone a light on the complex but vital subject of data protection. Barrister Gary Grant updated the conference on recent licencing developments all pub operators should be aware of, with key analysis of new and upcoming changes to the licencing regime. The second break-out session from PC Matt Moss and licensee Gemma Sands focused on partnership working in Portsmouth between the trade and police, and the effect this has had on the crime rate in the night-time economy which has plummeted in recent years. Key insights included the use of alerts and bans to change the behaviour of customers attempting to use or bring drugs or legal highs into venues and discourage this by socially isolating the individuals concerned – sending a message that drugs would not be tolerated. Pubwatch stalwarts Michael Kheng, Tim Robson and Steve Evans gave an overview of Challenge 21, serving to drunks - which included new National Pubwatch training films, with the serving drunks film funded by BBPA, and freely available here and conflict management. As it has done for the past fourteen years, the National Pubwatch conference provided in-depth discussion sessions with leading experts, a chance for licensees to meet National Pubwatch representatives and ask questions on the day-to-day practicalities of running a pubwatch, and a forum for the trade, police, local authorities and others to network on common issues. The unique nature and importance of the conference was highlighted yet again in its 20th year. The BBPA has been a supporter and promoter of pubwatches and National Pubwatch for a number of years, and we urge members to support National Pubwatch and promote the scheme to their lessees, tenants and managers.
Brigid Simmonds | 01 February 2017
As an industry we recognise the challenges of recruiting and retaining staff. Research from employment and skills consultancy People 1st indicates that 1.3 million are needed in hospitality by 2014, but three quarters of these will be replacement staff. Retention is as important as recruitment. Exiting the EU brings many more challenges and an initial assessment of a survey the BBPA carried out of our members shows that some 27 per cent of pub workers are from overseas (23 per cent from the EU) but in kitchen staff, this rises to 40 per cent and in metropolitan areas, it is 40 per cent and above. In response, the BBPA joined forces with ALMR, BII and People 1st to hold a joint conference last week, inviting all our members to share best practice and look at what more we could all do. In my introduction, I talked about this being an agenda which is vital to the success of our industry. We face cost increases. The Apprenticeship Levy adds costs, but the fact that we cannot use the money in our wider supply chains, (particularly in leased and tenanted pubs) is an added headache. We have seen increases in the Living and National Minimum Wage, and we also have a business rates revaluation and the auto enrolment of pensions. The conference began with the Department of Education giving us a presentation on the Apprenticeship Levy and its funding mechanism. Annette Allmark from People 1st then described how apprenticeships will work in practice. She listed the seven standards available for hospitality and explained the end assessment which must be taken when completed. This was the main recommendation from Doug Richards a few years ago when he was asked by the Government to compare our qualifications with the rest of the world. A system which offers a ‘pass’ or ‘distinction’ acts as an added incentive, but there is also a requirement to take English and maths assessments. Companies can provide the training themselves, or work with a training providers. The BII has recently been approved as an ‘end’ assessor and People 1st have set up a Hospitality Apprenticeship Board to assist in the development of the right standards for us all. People 1st believes that employing an apprentice can add £5.2k annually to the bottom line. A very good panel session followed with employers talking about building relationships with schools, how the attention of apprentices can be much better than normal recruits; the opportunities as a young manager to earn £60K and how industry training is not only fun, but allows employees to work almost anywhere in the world. Apprenticeships must be aspirational. The afternoon heard about trends from People 1st, from the Low Pay Commission and from Catton consultancy. A second panel session talked about working with local schools and colleges, local charities and even the Prison Service to recruit chefs. Retention ideas from bringing chefs together twice a year to share ideas to a fishing trip to catch fish and then cook it. Many are looking at offering more flexibility in working hours. We face an unprecedented challenge from Brexit, but also a great opportunity. The new industrial strategy offers us possibilities to work as a sector across Government, and training and productivity are an important part of that challenge. A really good day, plenty to think about and good to work with other partners to bring us all together.
Brigid Simmonds | 25 January 2017
It seems that you need to be called Thompson to to run Hogs Back brewery - there are three of them, all unrelated! Time spent with Rupert Thompson is never wasted with his fluidity of ideas and plans for the future. Despite freezing fog from the South Coast all the way to Farnham and a hop garden which not surprisingly was showing little growth in January, it was a very worthwhile visit! Rupert has worked at, and owned, several different breweries, some of which are now owned by other members of the BBPA. He also has interest in start-ups, including photovoltaic cells and jet engines for cars. All rather fascinating, even if you are not very scientific! He is also a non-Executive Director of Thatchers and Martin Thatcher sits on his board too. Cider and beer; a modern combination. Growing your own hops, (Hogs Back sources the majority of its hops from within five miles of the brewery), creates a very obvious interest in localism and provenance. A trainee television crew from Southampton University were there filming and the brewery and its hop garden has featured on Countryfile. There is a very wide range of beers, some unique for a brewery of their size; I took with me several bottles to enjoy in due course! Hogs Back won the BBPA ‘Grain to Glass’ Award at our Annual Dinner in 2015. They are proud of this and other awards and it was great to see BBPA acknowledged on a pump clip in Farnham. Rupert is passionate about training, beer and health, and how we ensure that subsidies are properly and fairly used. He is certainly on a mission in a number of areas and has an energy to carry most of them through.