Partner Article

Pubs call for change

PUBS across the region are calling for Government action on cheap supermarket alcohol, which they say is damaging business.

More than half of the region’s landlords say that business has dropped off over the last year and a third expect the decline to continue, according to research published on Friday.

The sale of alcohol at pocket money prices by the region’s supermarkets has been identified as a key reason for this trend – with almost nine in ten landlords admitting that supermarket price promotions have damaged trade.

As a result, more than 80% of north east publicans support the introduction of a minimum price per unit of alcohol, which would increase the price of cheap, strong alcohol and close the price gap between pubs and supermarkets.

The research, which was commissioned by Balance, the North East Alcohol Office, surveyed 244 of the region’s landlords. It reveals that 56% of those surveyed experienced a decline in business last year.

• Meanwhile, two in five predict that this decline will continue over the next 12 months and more than half of publicans said they were forced to offer drinks promotions to counteract supermarket price cuts.
• A third put the introduction of a minimum price per unit in the top three factors that could make the biggest impact on boosting their profits.
• Ian Taylor, operations and marketing manager at the Head of Steam Ltd – which owns pubs in Newcastle and Durham - said: “Although we don’t support any discounted price promotions designed to lure customers to drink too much, I understand to a degree what other publicans are saying when they feel driven to introduce cheap alcohol offers to counteract pressure from supermarkets selling alcohol at ridiculously low prices.

“We have definitely noticed a lull in trade during the early evening, which has meant we have to operate later, which puts pressure on staff and budgets. It doesn’t take a genius to link this to the increase in pre-loading, or people getting drunk on cheap supermarket alcohol before they hit the pubs and clubs.”

This was posted in Bdaily's Members' News section by Ruth Mitchell .