Ol Nick n' HOOT
By the way. That's why beer's so expensive - and the publicans still don't make enough profit on it to earn a crust - or to be able to pay tax -. I forgot to mention RENT which invariably increases way above inflation. Many rent reviews on full repairing insuring leases (where the lessee has total responsibility for every last bit of brick, mortar, timbers, wiring plumbing tom cobbly and all, maintenance and repair) see rises in excess of 50% at review. None of it is sutainable. In effect most pubs selling a pint for less than £4.00 is using beer as a loss leader to get customers in to buy other stuff which is not necessarily tied. There are, however, some leases where even the bleach and sausages have to be bought from the Freeholders' suppliers. None of this practice is legal in Europe, the States or most other sensible countries. It was supposedto end here in 1998 but our Pub industry got block exemption from European law on the grounds that if the tie wer to end, thousands of pubs would shut down. Not wuite. If teh tie wer to end. Millions of pounds of profit would come back from the Freeholders and into the pockets of the lessees, beer prices would drop and lessees would end up spending their profits on improving their businesses.
So, to Ol Nick above:
DO NOT BUY the Hoot. You will lose your shirt.