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Pubs at increased risk of insolvency whilst government drags feet

Toby Perkins MP, Labour’s Shadow Pub’s Minister, has warned that government foot dragging on pubs regulation could threaten the future of even more pubs, following the release of new insolvency figures.

According to research by R3, the insolvency trade body, the proportion of businesses in the UK pubs and bars sector at risk of insolvency in the next 12 months is much higher than in the rest of the economy.

  • 37% of the UK’s pubs and bars (equivalent to 5,500) have a higher than normal risk of entering an insolvency procedure in the next 12 months.
  • When compared to all businesses in the UK pubs and bars have a higher than normal risk of insolvency – by 12 percentage points.
  • The South East has the highest share of ‘at risk’ businesses in the pubs and bars industry (41%).
  • Northern Irish pubs, the one nation in the United Kingdom which does not have PubCos, are amongst the ‘healthiest’ with only 23% of pubs and bars have a higher than normal insolvency risk.

Toby Perkins said:

Shadow Pubs Minister

“These figures yet again demonstrate the urgent need for reform in the pub trade.  In January 2013 the Tory-led government promised to introduce a statutory code to rebalance the unfair relationship between large pub companies and the licencees.

“Nothing has changed so this week I called an opposition day debate in Parliament to demand a bill in this year’s Queen Speech.  The government refused and instead voted to give themselves yet more time to decide what to do.

“These latest figures show that the longer we delay the more pubs our local communities will lose.  We need action now.”

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I am Toby Perkins, Labour's Member of Parliament for Chesterfield. If you would like to get in touch with me, my office is open and can be reached by phone on 01246 386 286. I also hold regular surgeries so that constituents can meet me and I can take up their concerns. If you would like to make an appointment then please do contact my office. Thank you for visiting.

Contact Toby

Tel: 01246 386286
Post: 113 Saltergate, Chesterfield, S40 1NF


I hold regular surgeries for my constituents.
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