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29/12/2009 - Landlords 'may take strike action'

A ballot on whether to hold industrial action is to be held as thousands of pub tenants decide whether to take action against the amount of money paid to pubcos.

There are an estimated 25,000 "tied tenants" of seven large property companies called pubcos, which lease thousands of pubs to landlords.  The GMB union has claimed that landlords have to buy beer at a premium rate, and are being forced to give up their tenancies or end up going bust. 

The union is campaigning to secure cuts of £12,000 in payments to the pubcos. 

GMB national officer Paul Maloney said: "The aim of the action by the tied tenants is to secure negotiation with pubcos to achieve very substantial cuts in wholesale prices and a resolution to a wide range of grievances experienced by the tied tenants at the hands of the pubcos middle managers and their agents."

The union estimates that running a tied pub costs £12,000 more than a free house. The union also added that pubcos make millions of pounds in profits so they could afford to charge lower wholesale prices.

Copyright © Press Association 2009

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