Otley MP calls for a change in the way pubs are run

Ilkley Gazette: Otley MP Greg Mulholland Otley MP Greg Mulholland

Otley’s pubs-championing MP is renewing calls for the way many inns are run to be reformed.

Greg Mulholland (Lib Dem, Leeds North West) says the current system where large companies own and lease the majority of pubs is causing huge losses to both the economy and the Treasury.

And he is urging the Treasury not to hamper attempts to improve the 'pubco' model which are being made by the Department of Business, Innovation and Skills.

Mr Mulholland, who chairs the Parliamentary Save the Pub Group and raised the issue during Treasury Questions this week, said: "The loss to the UK economy and the Treasury of the disastrous leased pubco model has been astronomical and it is time the Treasury properly looked into this.

“Hundreds of millions of pounds are lost each year in terms of tax credits to poorly paid tied licensees and costs associated with pub closures and bankruptcy.

“The Treasury needs to decide is it pro business and growth or pro zombie company and crony capitalism.

“For a Government that wants more growth, then they need to back the Federation of Small Businesses and the Forum of Private Business in calling for a market rent only option for the tied licensees of the large companies.”

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