Small Business, Enterprise and Employment Bill — Clause 64 — Pub Franchisees — Market Rent Option — 18 Nov 2014 at 16:17

The majority of MPs voted against requiring that franchisees of pubs owned by a pub-owning business be treated like tenants and leaseholders and be offered a market rent only option rather than only a contract requiring them to buy alcohol from their landlord.

MPs were considering the Small Business, Enterprise and Employment Bill^[1]. The motion rejected by the majority of MPs in this vote was:

• That the amendment be made.

The amendment in question stated:

• page 47, line 19, leave out “tied” and insert “tenanted, leased or franchised"

The rejected amendment would have taken effect on clause 64 of the Bill^[2], sub-clause 1 of which stated:

• In this Part a “pub-owning business” means a person who is the landlord of 500 or more tied pubs.

"Tied pub" had been defined in clause 63^[3] of the Bill as premises meeting the following four conditions:

• that the premises have a premises licence authorising the retail sale of alcohol for consumption on the premises.
• that the main activity or one of the main activities carried on at the premises is the retail sale of alcohol to members of the public for consumption on the premises.
• that the premises are occupied under a tenancy.
• that the tenant of the premises is contractually obliged to buy from the landlord, or from a person nominated by the landlord, some or all of the alcohol to be sold at the premises.

During the debate Toby Perkins MP spoke in favour of the rejected amendment stating^[4]:

• the specific wording of our amendment leaves a lot less potential for businesses to get out of saying that they are covered

and

• We remain of the view that amendment 5 will provide the greatest clarification on exactly who should be covered by the Bill.

==

• [1] Parliament's webpage on the Small Business, Enterprise and Employment Bill
• [2] Clause 64 of the Small Business, Enterprise and Employment Bill (as amended in Public Bill Committee), 7 November 2014
• [3] Clause 63 of the Small Business, Enterprise and Employment Bill (as amended in Public Bill Committee), 7 November 2014
• [4] Toby Perkins MP, (Chesterfield, Labour), House of Commons, 18 November 2014

Debate in Parliament | Source |