Village pub landlord calls time for good

From the North Devon Journal:

By Adam Wilshaw

A VILLAGE pub landlord says he is declaring himself bankrupt and quitting the trade after a sudden downturn in profits, adding to fears that North Devon’s public houses are facing decimation.

Patrick Oakey has closed the Fox and Hounds pub in Fremington, where he has been the landlord since 2004, and is moving out of the pub, which is also his home, with his wife and two teenage sons.

Mr Oakey said large numbers of people, particularly younger customers, were being lured away from pubs, such as the Fox and Hounds, by cheap supermarket alcohol. He also said the smoking ban had hit his takings and because of the credit crunch he was unable to secure credit to see him through a bad patch.

Campaigners and senior politicians, including North Devon MP Nick Harvey and Torridge and West Devon MP Geoffrey Cox, not to mention Prince Charles, have warned that thousands of traditional English pubs are in jeopardy, partly because of the economic recession, but also because of the way large pub companies, who own the majority of pubs, often oblige their tenants to buy beer through them at prices higher than cost (known as a tie).

Mr Oakey said: “My client base has always been youngsters and when they walk in the supermarkets and see cheap alcohol they are not going to come in and pay £3 a pint.

“It’s part of village life and it is sad it has closed. Enterprise (the firm which owns the Fox and Hounds) will get someone else in.”

He added: “I will miss it. I have spent four years building the place up. I wouldn’t have another pub.” He also thanked all his loyal customers.

The Fox and Hounds lease is on the market for £97,500. According to Cowling, which is the agent dealing with the sale of the lease, the pub has a turnover of £175,000 with a rent of £23,000 a year.

The Campaign for Real Ale (Camra) has warned that almost 60 UK pubs are closing every month. In the Barnstaple area alone pubs currently on the market include the Wrey Arms in Sticklepath, the Tavern in the town centre, and Funky Munky on the Strand.

The pattern is the same across North Devon and Torridge. A recent Journal investigation found that many pubs in North Devon were struggling to make profits, although local Camra members said good quality pubs which served well-kept beer and good food in attractive environments were still doing well.

Landlords blamed cheap supermarket alcohol and the recession for the decline in takings in recent months. But some pubs are bucking the trend and reporting healthy custom.

I find myself wrestling with the age old battle of love and hate, and contradictory passions in one pub

An ill wind was wailing through the world economy, through all our bones and the future bones of all our future generations for ever, as we made our way through half-deserted streets to one of the most popular pubs in North Devon and Torridge.

I was feeling a bit depressed about the future for our pubs because I had recently met a North Devon pub landlord who was about to declare himself bankrupt and close his business. He said he was being squeezed from all sides; by the pub company, the smoking ban, and by cheap supermarket booze of all types and horrors. But despite all that he could have made a go of it, maybe, if only he had had more of one vital business ingredient: customers.

Sometimes it is good to acknowledge the blindingly bloody obvious. Pubs are closing because customers are not using them, and other pubs are still busy and profitable, because customers are still using them. So how about a case study? One of the most popular pubs in North Devon is the Wetherspoon's outlet The Panniers, in Barnstaple. It will never close. It will survive the recession. It would survive a nuclear war. And on a dank Thursday evening this month, the place was so ramjam pack-a-doodled that when I arrived with my friend we took the only two remaining chairs.

I was still chewing over all the stinking doom in the news. Pub doom. My own eyes weren't helping. Walking to the Panniers through the glistering Barnstaple town centre streets, all but deserted, we passed empty pub after empty pub.

But not the Panniers. There can only be two reasons why the Panniers is such a success; good beer and cheap prices. Because the place has atmosphere the way big brand keg lagers have taste, the way Gordon Brown has a radiant smile, the way David Cameron has sincerity, the way house prices are clever, the way plastic window frames are acceptable in a public house context (no PVC frames at the Panniers by the way, fellow window freaks).

In fact, if you have ever been in a Wetherspoon's pub anywhere in the queendom you will know what the Panniers is like. They are all the same.

Same hotel lobby decor, same food, same prices. The only thing to tell you you are not in Nottingham or Norwich is the local accents of the many punters.

The beer was superb, as good as a good rub down in an ice house by a crackling wood blaze while the huskies keep guard against the glacier pirates. I had a crisply glorious pint of Smoky Joe. My friend had a soothing draft of something dark and powerful. He was satisfied with it and it made him philosophical. As we sat and talked - mostly about babies - I noticed we were surrounded by adults of all ages, most of whom were eating curry from metal pots. If I had been tiresome enough to ask them how often they came here, they might have said: "every week".

If you are interested in good, low priced ale, the Panniers is a perfect hostelry. Cheap grub too. Probably tastes quite nice. And, you know, I hate the place.

I hate it because it is the bland pub universe cousin of a corporate fast food chain outlet. The place has a sort of psychic anti-character impact on the space it contains, with its school dining hall ambiance. There is no sense of community. Good pubs make you feel like you could own them, in some vicarious customer way, if you were a regular.

In terms of character alone, look at a pub I have wrote about before on this blog: The Reform Inn, in Pilton. It doesn't sell cheap curry and it does not welcome children or have a wide variety of the finest beers known to man and beast. But in all its eccentric, even ugly, brilliance, the local boozer offers a rare sanctuary from the blanding-out influence of the boardroom folk. What choice we have left is debatable. But there are still good local pubs who deserve our custom, even if it's just £3 a week.

We drinkers vote with our pint pots and our wine glasses, and the Panniers was as full as can be on Thursday last week. The beancounters will tell you this success was proof of armour against the ill wind blowing through the economy.

I kept thinking of my ideal pub.

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Beer Vs Beer

A strangely serious post this week...

George Orwell wrote an essay in 1946 about the cost of buying books, which he compared to the cost of buying cigarettes. He wanted to look at the assumption that buying books was "too expensive" for most people, so he made a rough calculation of how much he had spent on reading material. The sum seemed like a lot, but it was much less than what he was spending on tobacco. Orwell was a relatively frugal man but he did smoke a lot, in common with most of his contemporaries.

In the essay he went on to question the relationship between the financial cost of his books and their actual value to him. His essay concluded: "And if our book consumption remains as low as it has been, at least let us admit that it is because reading is a less exciting pastime than going to the dogs, the pictures or the pub, and not because books, whether bought or borrowed, are too expensive."

I think this sort of thinking could apply to how we view our pubs, which must be treasured as community enginerooms as well as unique pieces of an historical jigsaw.

In these times of rising unemployment, plunging pension pots and depressed wages, it might seem crazy to encourage people to buy beer and food in our pubs. But surely a small amount of our spending is about choice and is about the total enjoyment of our lives. What is exciting about beer and pubs should be more important than the mere ingestion of ethanol alcohol.

Whenever I am in a supermarket I see queues of people with trolleys stacked with junk food and cheap alcohol among the necessities. That's their choice and I'm no health freak. My argument is that the value of cheap alcohol in supermarkets is much less than the value of a pint in a good local pub in North Devon and Torridge. Try this rhetorical calculation and think about the choice:

You earn the minimum wage or not much more and after paying the bills and everything else unavoidable as well as charitable giving, you are left with £3 one Friday night to spend on the treat that might greatly increase your happiness in the drizzly depth of December. That £3 could buy enough alcohol from a supermarket to make you drunk. You could get some powerful booze, go home, watch the TV and sink in to a private oblivion. Or you could have a friendly pint of beer in your local pub, where you will meet people, and hopefully find humour or gossip. When I was a hospital porter earning £10,000 a year and paying my own way, I always had a couple of quid to go to my local for a pint.

And just as a book might add more joy and music to your life than a packet of cigarettes, and with value impossible to calculate in terms of money, so too a trip to the pub will improve your life more than a turn down the aisles in the superstore. How can it not?

An MP's view of the pub trade...

North Devon MP Nick Harvey (who is my MP), is deputy chairman of the all-party parliamentary beer group. He told the North Devon Journal: “I am acutely aware that these are difficult times for the beer and pub trade. Most recently I and my colleagues have been lobbying the Government, with Early Day Motion 2159, protesting at the detrimental effect of supermarket alcohol prices.

“Pubs are closing at an alarming rate of five a day, compared with three a day last year, four a week the year before and two a week the year before that.

"Barnstaple is no exception to this trend with the recent closure of several longstanding establishments in Boutport Street and elsewhere.

“Tax hikes combined with the ban on smoking in public places and supermarkets selling beer as a significant lost leader, to the extent that it is cheaper than bottled water, have all had a negative impact on a struggling industry.

“While pubs have served a historic role, off-trade has always existed alongside, providing consumer freedom of choice. However, economically off-trade, thanks to the supermarkets, is now clearly a serious challenge with an annual turn over of about £13bn almost matching pub sales.

“I and the APBG will keep pressing the Treasury, Department of Communities and Local Government and Health regarding alcohol duty being a blunt instrument to deal with binge-drinking (the real target being supermarkets selling alcohol below cost price), the positive value of pubs to our communities and the need for regulation and licensing not to be so burdensome as to push yet more pubs out of business.”

There are 57,000 pubs and bars in the UK, contributing £18 billion to the economy and employing 650,000 people. The Business and Enterprise Committee is currently holding a new enquiry into the role of pub companies (the last was conducted in 2004), with submissions closing at the end of September.

According to Mr Harvey, the pub companies have failed to adopt previous recommendations that rents should be sustainable, tied tenants should not be worse off and that the upward-only rent reviews and gaming machine tie must cease.

The British Beer and Pub Association reported this week that beer sales between July and September fell by 7.2% compared to the same period in 2007.

Beer sales in pubs dropped 8.1% and sales in supermarkets fell 6%. BBPA chief executive Rob Hayward said: “Sinking beer sales and the record five pubs a day closing is a barometer of the UK economic climate. But any prudent diagnosis would also identify the specific impact of the budget’s 9% beer tax increase.”

This story appeared at the same time:

By Adam Wilshaw

GOOD local pubs which sell quality ale and decent food in a friendly environment will thrive despite the recession, according to a North Devon campaigner.

North Devon Campaign for Real Ale (CAMRA) member Terry Burrows said some pubs in the area were closing or bereft of custom, but the pubs he cherished most were popular and relatively profitable.

There are fears the traditional English local pub is facing an uncertain future, because of cultural and economic changes. Mr Burrows was one of a number of pub-goers, landlords, and brewery firms the Journal spoke to this week about the health of the pub trade in North Devon and Torridge.

Recent warnings about any widespread demise of our local pubs seem premature, given the responses we received. It can also be difficult to establish precisely why a pub closed: Was it because the rent was too high? Too few drinkers? Beer too expensive? No food? Too much food? No “smoking garden”?

Drinkers lured away by cheap supermarket beer? But there is little doubt our boozers are facing a number of problems, and the industry is having to work hard to entice in customers. North Devon MP Nick Harvey (Lib Dem) and Torridge MP Geoffrey Cox (Conservative) have both attacked the Government for increasing beer duty, for example.

Mr Burrows said: “From our experience, the good pubs, that offer what the community wants and are involved in the community, are thriving. It’s not all doom and gloom.” He said ever-increasing beer tax and cheap alcohol in supermarkets were harming our pubs. In addition, pubs which could not offer a smoking area were struggling to keep customers.

On the other hand, sales of cask ale continue to increase year-on-year. Pub landlords and landladies reported a mixed picture.

Jeff Sweet, from the Tavern in Diamond Street, Barnstaple, said his business was still busy at weekends with loyal regulars. And the landlord of a larger Barnstaple pub, who did not want to be named, said pubs had to increasingly offer “added extras”, such as live music, or they would go under. He too said many drinkers seemed to be switching to spirits which are, by alcohol volume, cheaper than ale.

Chris Franks, who sells beer wholesale from 37 independent breweries to pubs around North Devon and beyond, said: “Nothing has changed an awful lot, the ones who put effort in are doing all right, but no one is making a lot of money.” He also pointed out that North Devon and Torridge have a number of excellent breweries, including Country Life in Abbotsham and Barum in Barnstaple.

But Debbie Furnifer, landlady of popular local hostelry Marshalls, in Boutport Street, Barnstaple, said the pub had been quieter than usual in recent months. “I think people are scared to spend their money,” she said. “The regulars are still coming in.”

Few pubs are freehold businesses; the majority are owned by larger firms who lease the premises. Punch Taverns, which has a number of pubs in the area, said it was “passionate about safeguarding the future of the great British pub”. A spokesman told the Journal: “Pubs across the country face a challenging trading environment but we continue to work closely with our licensees in North Devon and across the country to help them find new ways of improving their business, developing their retail proposition and financial stability. This ranges from identifying new or improved food offers to developing other areas of their products, offers or service. Punch also has an industry leading support and training programme for licensees.

“Within our leased estate we have some great examples of pubs that have introduced new facilities, such as Post Office counters, which help them to become focal points of the communities they serve. The North Devonshire area has a small conurbation with limited road access and seasonal trade.

"The pubs have to continually strive to be the best they can be to attract customers and keep them coming back. Offering value for money and having an offer that suits the needs of the local market place is key to success. We have some fantastic outlets in the area which are really bucking the economic trend. The London Inn, Braunton, and the Rock Inn, Georgeham, both have great licensees at the helm who have developed an offer that is just right for their local market place. They consistently deliver excellent levels of customer service and are highly successful as a result.”

But some of the people pulling the pints were less optimistic.

Lee Sycamore, landlord of the Old Market Inn in Holsworthy, said: “With high street spending at its lowest for years, pubs closing down at a rate of five a day, and beer sales for the period of July to September down by 7%, a very grey picture has been drawn over the licensed trade. “The credit crunch has seemed to have hit us all. Speaking for ourselves, as a freehold pub, the trend on most sales seem to be up on last year so far. Beer and food sales have increased significantly, however wines and spirits have fallen dramatically.

"I can only put this down to customers being less extravagant at the end of the evening by cutting out on that last night cap, and saving a small amount by not having a bottle of wine with their meal, just one glass instead.”

But he said next year “could be worse than ever”.

He added: “Calls have gone out to the Government not to put the normal taxation on beers, wines and spirits next year in their budget. A public house is a vital hub for communities through both good and bad times.”

Arthur Scrine, landlord of the Patch and Parrot in Cooper Street, Bideford, said: “We have the same old crowd in here. We’ve got all the golden oldies and the credit crunch has not affected them coming in. The price of beer may have gone up, but we are still the cheapest pub in Bideford.”

Mark Birch has been the landlord of the Black Venus Inn, in Challacombe, on Exmoor, for the past four years and believes the current economic downturn had not had much effect on trade, although he had a stark warning.

He said: “It’s about a level par to last year although there are definitely not as many tourists around. People still have the same money to spend but they are just being a bit more careful with it.

"I don’t think the increase in beer duty will affect us at the moment but, if the Government insists on maintaining the current 4% levy, I think it will kill off the industry.”

Jon Hutchings, from the White Hart hotel in Holsworthy, said: “Generally the pub trade is down however I feel its all about innovation. What with the smoking ban last year and with cut price alcohol sales in supermarkets we are in a difficult time. “Late night weekend trade is down however it is also picking up again but this is due to new ideas and promoting events at weekends such as live music and DJs.

“We are at a time where you cannot expect business to just walk in the door. You have to go that little bit further to entice the customers in. Our food trade is on the up with particular attention focusing on local produce.”

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Watching The Heavens Unfold In The Pub Section As The Future Looks On

Sometimes a pub visit creates a venn diagram of glee, sensation, and nostalgia.

The circle of glee in the diagram comes from your companions and the beer while the circle of sensations are the slow warmth of the alcohol in your blood and the brace of farmfield air when you step outside.

The final circle, of nostalgia, is the thought of the merry drinkers who are now gone, who argued at your ear or at ears like yours, and the afternoons and evenings you have spent ignoring the stale inhuman defeats of money, mortgages and DIY by tilting your hat at the good life.

The glee, sensation and nostalgia circles intersect at The Pub Section. In the Pub Section I found the Chichester Arms in Bishops Tawton, a pub so determined to thrive that it was born again, nine months after a devastating fire in 2005.

I arrived one midweek evening with my wife and baby just as autumn was starting to blow cool through the North Devon countryside. The Chich, as it is popularly known locally to generations of fans, is a dining pub but it has not destroyed its pub DNA in pursuit of the Hungry Belly Pound. It has kept the cosy chaos of all lovely country pubs without being cloyingly twee or phoney.

Indeed, there was some controlled chaos in the kitchen when we arrived; a key player, the chef, I think, was unexpectedly unavailable. But the barman stayed friendly.

I drank two fine pints of Exmoor Ale, as crisp as the dew forming on the hills and I ate a beefburger, regular readers will be astonished to hear. It was superb beef, and was well-cooked, but needed a bit of seasoning.

I took the last few mouthfuls of my final Exmoor Ale outside to look at the stars and the waxing moon, and to inhale some of the frosty nostalgia.

There were few constellations on show, but I saw Cassiopeia and the north star. Cassiopeia was named after the Greek mythological wife of Cepheus, king of Ethiopia, you know; she was sent to the heavens because she bragged about her beauty, hardly a punishment for any crime, including honesty. I managed to find the moon too, without looking at a book. You could spend an hour in a beer garden in the twilight, thinking of venn diagrams, and how many bits of life fit in circles, and go quietly insane.

I had my baby boy in one arm, his eyes like mirrors inside his woolly hood, while his mother finished her dinner in rare peace inside. An almost mythical experience.

My boy was too young for a sip of my beer, although he was "baptised" with ale in his first week of life, and I didn't want to share the magic stuff anyway. But he was not too green, I hoped, to absorb the sense of the dark countryside just out of sight. I was so fixed in the Pub Section, being watched by the future.

THE CHICHESTER ARMS, BISHOPS TAWTON, NORTH DEVON

ADAM'S ALE RATING: 4 OUT OF 5

DRINK THIS: EXMOOR ALE