UPDATE: Heineken “discriminated” MRO pubs now fundraising for survival
We reported earlier in the week, that Star Pubs & Bars, owned by Heineken (with 2,500 UK owned pubs to it’s name) were openly advising their MRO (free of tie) pub tenants – that they would not be eligible for the support offered to their tied estate.
One of the pubs we featured was the historic Briton’s Protection in Manchester. The pub is in desperate need of support, with no income and no help forthcoming in the form of any government grant (having just missed out by being over the rateable value threshold).
The ONLY support the pub has received to date is to allow the staff members to be furloughed and a waiving of business rates, IF the pub is able to reopen.
Since having been forced closed by the government 46 days ago, the pub has so far accrued a rental debt to Heineken of £10,649.
That amount is increasing by around £1,620 each week, with other bills, such as security costs and utilities on top. Yes, ironically, the publican is actually having to pay to secure Heineken’s premises whilst closed.
With no end in sight to the lockdown, the final bill will easily top tens of thousands of pounds. The ONLY option, if the pub is to reopen, would be for landlord Mark West, who felt Heineken were “discriminating” MRO tenants, to borrow the funds for the businesses. However, with such a heavy debt looming over the site, and in all likelihood a reduced trade on reopening, even this may not be enough.
In an email leaked to the Publican’s Post, and as previously reported, the offer of a rent deferral was described by Heineken as a “generous concession”.
In a sign of how desperate things have become, the proud pub is now resorting to asking the local community for help – and have launched a GoFundMe page seeking donations.
So far the world’s second-biggest brewer Heineken, who ultimately own the pub, and made a net profit in 2019 of €6,895,890 each day (that’s €2,517 million a year on revenues of €28,443 million) have refused any offer of support – and dismissed the pub’s request for a rent free period.
In their full year statement, Jean-François van Boxmeer, Chairman of the Executive Board / CEO, commented “In 2019, we delivered another year of superior top-line growth, with continued strong performance in the second half”
Perhaps Mr van Boxmeer would be kind enough to share some of this with the many landlords throughout the UK that played their small part, and now face losing the very businesses they fought so hard to establish.
Heineken have been invited to comment, but so far we have not received any response.
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