Close British pubs because of energy. Vlda, help, give me a businessman

Close British pubs because of energy. Vlda, help, give me a businessman
Close British pubs because of energy. Vlda, help, give me a businessman

fov company, which runs half of the almost fifty thousand pubs in the United Kingdom, said that the Germans, i.e. the businesses themselves, were twice as big. They can’t compete with the high ones for energy. In some cases, they became more than fivefold, reported The Guardian newspaper.

Unlike households, British entrepreneurs are not subject to the price ceiling, so in their case, the energy supplier can charge as much as they want for gas and electricity. Without intervention, there is a threat of bankruptcy for many companies.

The transition is inevitable

The British Brewery and Pub Association (BBPA) sent a letter to Liz Truss, the new face of the Conservative Party, in which she stated that a mass walkout is inevitable in an industry that employs a million people, and that it cannot be done without government support.

The price for energy went down first at a time when the industry was recovering from the negative consequences of covid, said Nick Mackenzie, executive editor of the restaurant chain Greene King, which is no longer printing the business in the whole of Great Britain. According to him, a lot of unpaid debts remained in this sector after the pandemic.

Hell will break out, but no one knows how big it will be, aka a businessman from Pindle

Although the government introduced measures to help households cope with the sharp rise in prices, businesses have to deal with it themselves. And it will go up in the fall, Mackenzie added.

Without immediate government intervention to support this industry, according to the manager, it may happen that the pubs will not be able to pay their bills. They will have to go through the cracks and lock their doors all over the country. All the work to hit pubs in operation during the pandemic will thus go to waste, warned Mackenzie.

Pay or pay

The concern of the British economy is completely justified. Unlike households, pubs and small businesses, they usually buy energy from a supplier based on long-term contracts with a fixed price. First you extend yourself in this ronm. The products that the supplier now offers are a breath of fresh air for many.

Some entrepreneurs report that their supplier is not willing to offer them a contract with a fixed price because it turns out that the company is going bankrupt. The only thing left for entrepreneurs are non-contractual rates, which are growing in line with the wholesale markets.

Other businesses report that the energy supplier has informed them that they must make a deposit of more than ten thousand pounds (293 thousand crowns) if they want to conclude any contract. Others received offers, in which a significant jump in energy costs is indicated.

Pub press canceled orders for good with us, to Kevin Georgel from St Austell Brewery in Cornwall. One of our concessionaires decided to go out of business after their electricity costs increased by 450 per cent, says Chris Jowsey, managing director of Admiral Taverns.

According to him, such a thing prevents any profitable business. Let’s not forget that for the license holder, the pub is not only their business, but also their home, he added.

Britney is about to top it off. In a crisis, it will turn off the gas to companies and people

Energy prices caught even Mark Holden, who runs pubs in Cornwall, by surprise. He had a long-term contract for the supply of gas until November 2023 with an estimated price of 5,800 pounds (170,000 crowns).

His supplier went bankrupt, so he had to enter into an emergency contract with a new supplier. His age reached 24 thousand pounds (702 thousand crowns). He recently invested in gas stoves, even though today he would probably opt for an induction cooktop.

I think what’s happening now is the biggest call the industry has ever faced to the Holden economy. As long ago as the financial crisis in 200810 and covid. This is something that brings us to our knees, dov. we are on the brink of death, and if we don’t act, it will be our death, concluded the entrepreneur, according to The Guardian.

The article is in Czech

Tags: Close British pubs energy Vlda give businessman

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