The UK’s biggest pub landlord has been urged to offer tenants rent holidays – or danger wide-scale closures when lockdown is lifted.
Ei Pubs, a part of Stonegate’s 4,500 pubs throughout the nation, has provided to defer rent for tenants – in distinction to rival manufacturers like Adnams and Admiral Taverns which have introduced rent-free durations.
A letter signed by a cross-party group of 60 MPs has warned that Ei Group pubs are ‘taking the entire financial burden of the lockdown’ and will quickly be left ‘deep in debt’.
The group, organised by Conservative MPs Alicia Kearns and Anthony Browne, and Labour MP Stella Creasy, wrote: ‘The present pandemic represents maybe the best risk the pub trade has ever confronted.
‘We write as Members of Parliament deeply involved about the way forward for pubs in our constituencies.
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‘These worries have been alleviated somewhat in recent weeks by Government support measures and the announcements of Adnams, Everards, Admiral Taverns, Timothy Taylor’s, Hall and Woodhouse, Robinson’s, Wadworth’s, and Palmer’s Brewery, amongst others, that they are going to be providing rent-free durations for his or her pubs throughout the Covid-19 lockdown.
‘However, we are dismayed that Ei Pub Company has not made any public undertaking to provide a rent-free period to its tenants and is instead simply deferring the rent to be paid off after the pandemic ends.’
The Ei Group runs greater than 220 pubs within the county together with the Red Bull and Monks Head in Aylesford, Unicorn in Tonbridge, and Command House in Chatham.
Stonegate has launched a multi-million assist bundle for publicans, together with a three-month rent credit score.
It will see rent nonetheless being paid by pubs which were given authorities assist – however they are going to be entitled to credit in opposition to future beer purchases.
Establishments not receiving sure authorities assist will obtain a rent credit score, primarily which means they don’t pay rent for 3 months.
The firm has confirmed the credit score given will depend upon the dimensions of the pub, including that the rent is not going to must be paid again instantly.
Those receiving a grant of between £10,000 and £25,000 will get commerce credit of both 75% or 50% of the worth of three months’ rent, Stonegate stated.
Nick Light, managing director of Ei Publican Partnerships, careworn that the bailouts granted by the federal government ‘are aimed at providing financial relief towards fixed costs, including rent’.
He added: ‘It is important to us that our pubs and our publicans are ready to commerce efficiently when pubs are allowed to reopen.
‘The rent support and trade credit initiatives are intended to provide our publicans with a strong platform to do so and to help relieve some of the financial pressure required to restock and restart.’
It comes as the federal government confirms some pubs in England might open as early as July, if drinkers are capable of adhere to social distancing guidelines.
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