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27 April 2021

Pubs Code 2016

The Pubs Code 2016 will be reaching its 5th anniversary this year. The Code came into effect in July of 2016.  There will be tenants who did not take the opportunity of seeking a free of tie (known as MRO under the Pubs Code) lease from July 2016 onwards and who missed out. Many of these were caught by the very strict timetable which the Pubs Code imposes for MRO procedures. Failure to comply with the timetable and procedures to be adopted can easily lead to the tenant’s rights to ask for and then negotiate a free of tie arrangement being lost. Once that happens the existing tied lease arrangement continues and the tenant would have to wait another five years before being able to ask for a MRO lease again.

I would therefore urge any tied tenants of the major pub companies who wish to obtain a Free of tie lease going forward to seek proper professional advice. I would suggest that you engage the services of a Chartered Surveyor who is fully conversant with the valuation of licenced premises and understands the workings of the Pubs Code 2016.

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