PUB landlords in Worcestershire could continue to struggle after the Office of Fair Trading (OFT) found nothing wrong with breweries and pub companies only allowing tenants to buy beer from them.
The Campaign for Real Ale filed its first ever “super complaint” – a fast-track procedure introduced for use by consumer groups – to the OFT in July over fears that high rents and “beer ties” were forcing landlords out of business.
But the OFT announced yesterday that it had found “generally effective competition between pubs” and would not be taking further action.
The OFT dismissed Camra’s concerns that supply ties were protecting pub-owning companies, leading to higher beer prices and less choice for consumers.
Figures earlier this year estimated that pubs were closing at the rate of seven a day and Camra said in its complaint that urgent reforms were needed to save the sector from “extinction”.
Tim Hall, landlord of the Marston’s owned Bridge Inn, Lowesmoor, has been trying to sell up and move on for more than a year after struggling to make a profit.
Mr Hall, who has been landlord for nine years, said: “It just makes it very difficult for a pub to survive. We just can’t compete with the pubs who are selling beer at rock bottom prices.
“Nobody is interested in buying a pub at the moment, its so hard to make money.”
Dennis Moughan is the leaseholder of the Grosvenor Arms, Henwick Road, St John’s, which is also owned by Marston’s.
Mr Moughan, who has run the pub for three years, said: “At the end of the day I know there are wholesalers out there who are selling beer at a much cheaper price.
“I think it would be a big benefit if we could sell beer from local breweries but unfortunately we aren’t allowed to. We have to stick to Marston’s products. A lot of tenants of tied pubs are being forced to move on because they can’t make a living anymore.”
Bill Ottaway, Worcestershire’s spokesman for CAMRA, said: “Breweries should allow their tenants to exercise a bit more flexibility rather than just selling the one brand of beer.
“Maybe just one pump where they can offer something different might bring in different drinkers to the pub.
“People like to go places with a bit of variety and it gives pubs an opportunity to support a local brewery.
“Real ales are becoming more popular all the time and sales are increasing – maybe that is why the big breweries want to restrict pubs to their own beer.
“They need to get the balance right and ensure the tenant is able to make a living from running a pub.
“The worst case scenario for everyone is when a pub is forced to close down.”
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