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Morning Briefing for pub, restaurant and food wervice operators

Tue 21st Oct 2014 - Propel Tuesday News Briefing

Story of the Day:

Greene King bid for Spirit set to create UK’s largest operator by sales: Greene King looks set to create the UK’s largest pub company by sales after Spirit indicated its willingness to recommend an improved 109.5p offer, including 8p of cash, to shareholders. The offer values the equity in Spirit at £732.2m and the company at circa £1.5bn including debt – total sales of the two combined companies would be in excess of £2bn. Observers were surprised yesterday that Greene King’s revised offer is only 9.5p more than the original one, but the Suffolk-based brewer and retailer has found itself without competition in the bidding for Spirit. The enlarged Greene King, of which Spirit shareholders would own 29%, would operate around 1,800 managed pubs. Spirit’s prize assets are its Chef & Brewer (circa 130 sites) and Taylor Walker brands (circa 120 sites), with the latter group comprising of many high quality pubs in central London locations. The Spirit takeover would, however, produce a sizeable increase to Greene King’s value-food estate with Fayre & Square and Flaming Grill joining the existing Hungry Horse estate to create a value estate of well above 400 pubs. One analyst has argued that the Spirit deal is not in keeping with Greene King’s strategy of improving its coverage of the day-parts by growing or buying a brand within this segment. However, Greene King will have made up for the disappointment of losing out to Mitchells & Butlers on the Orchid estate in June by acquiring a managed division that earns around £40,000 per pub per annum more than Orchid (£200,000 per pub versus £160,000). On the tenanted and leased site, Greene King has stated its intention to reduce its estate to 750 sites, but, after a Spirit deal, would have an estate of around 1,300 sites. However, the Spirit leased estate is made up of high quality former managed pubs with circa £100,000 of earnings per site – and the market has returned for buying groups of tenanted pubs, especially of this kind of quality so could easily be sold on. Of the deal, Peel Hunt leisure analyst Nick Batram said yesterday: “Whilst some shareholders will have hoped for a bigger cash component, the structure of the revised offer would suggest Greene King isn’t willing to put significantly more debt into the deal. Given this and the Spirit board’s stated position this looks like the best shareholders can hope for. There are clearly risks to accepting a largely all share offer in a volatile market but, if Greene King can secure the deal at the current level and structure, these risks should be diminished.”

Industry News:

ALMR National Restaurant Association Study Tour to Chicago open to bookings: The Propel Info and Association of Licensed Multiple Retailers (ALMR) 2015 Chicago Study Tour is now open for bookings. The trip, sponsored by CPL Training, takes place between Thursday 14 May and Monday 18 May. The ALMR launched its first study tour trip to the NRA show in 2012, with the trip led by Propel Morning Briefing managing director Paul Charity. The NRA draws 58,000-plus industry professionals from all 50 states and 100 countries, all seeking the newest innovations and up-to-the-minute information about trends and issues. The ALMR trip provides: insights from industry experts on the rise in fast-casual dining, social media, new and emerging brands, menu development, staff management and a host of other issues – with 70 free education sessions; involves two tours of Chicago’s hottest concepts and a market overview briefing sessions from US experts. Paul Charity, managing director of Propel Info, said: “The NRA show is a fantastic opportunity to find fresh inspiration and understand the emerging trends shaping the fast-changing US market.” To get more information or to book, email jo.charity@propelinfo.com.

Bradford takes title of UK curry house capital for fourth year in a row: Bradford has won the title of Curry Capital of Britain for the fourth year in a row, beating Brighton (second) and Birmingham (third). The competition, now in its seventeenth year, involves each city fielding a team of four restaurants that are marked by 13 judges on the basis of how the curry house sector promotes cultural cohesion and civic pride.

New academic research – a pint a day doubles fertility: New research by the Massachusetts General Hospital in Boston has found that drinking a pint of beer a day a doubles the odds of fatherhood. A group of 105 men whose wives were undergoing IVF were studied. Those who drank the most alcohol had a 57% chance that a session of IVF would result in a baby being born. This was twice the 28% success rate of those who drank the least. Dr Allan Pacey, from Sheffield University, said: “Moderate social drinking can be of benefit for couples trying to conceive either naturally or during assisted conception because it helps to reduce stress.”

PubAid embarks on second stage of campaign: PubAid, the organisation dedicated to highlighting the work pubs in the UK do for charity, has unveiled details of the next stage of its campaign. Co-founder of PubAid Keith Knowles said: “We have asked those that originally helped get PubAid get off the ground to support the next stage of our work and we’ve been fortunate enough to engage with some new sponsors who understand what we are trying to achieve. The funds we have received allow us to both continue our work into the future and embark on some new initiatives. I’m proud to say that since completing the original survey, the £100m figure that we unearthed, that is, the amount pubs raise for charity each year, has become well-known and has featured in many speeches. Stage one of our journey was to get that fact known throughout our own industry and arm commentators with the facts, something that can be particularly helpful when the trade is all too often only getting column inches for binge drinking. Stage two of our plan is now to take this message beyond the ranks of the industry and engage with consumers. We’ve had some success in this area already but know that to effectively shift perceptions, we need to work alongside other organisations and keep producing data that supports the great work that pubs do for charity.”

Late-night tube will benefit licensed hospitality: The Association of Licensed Multiple Retailers has welcomed yesterday’s news that London Underground services will run a 24-hour timetable on Friday and Saturday nights. ALMR chief executive Kate Nicholls said: “Extended services in the capital will allow more customers the chance to enjoy the city’s licensed hospitality, providing a boost for pubs, clubs and restaurants and supporting the vibrant night-time economy. One-third of town centre revenue is generated after dark and this move will give more customers the chance to enjoy a drink or meal-out in the city centre with the peace of mind that they will be able to get home safely and quickly. A later-running London Underground will offer more chance for the gradual dispersal of customers from the busy city centre. The Licensed hospitality sector has worked hard, through best practice schemes like Best Bar None and Purple Flag, to make our towns and cities safe and attractive destinations; an improved transport infrastructure will allow pubs and bars more opportunity to entertain their customers without fear of costly or dangerous bottle-necks at closing time.”

Company News:

Brew Café to open fourth and largest site: Brew Café will launch its fourth and largest site to date on Lower Richmond Road, Putney on 10 November. The 3,000 sq ft space will offer an all-day dining experience with live music, BBQ evenings, creative cocktails and an Antipodean influenced menu. Run by Jason Wells, who began his career as a butcher in his native Australia, the menu at Brew Putney – like sister sites in Wandsworth, Battersea and Wimbledon – is inspired by his travels, with particular influence coming from Israel and New York. A “Butcher’s Shop” complete with dry aging fridge will offer a cut-to-size and cook-to-order steak option. There will a dedicated patisserie producing home-made pastries and cakes.

Bill’s to open six new sites by Christmas: Bill’s will open six new sites before Christmas, taking the total estate to 53 sites. The brand, which opened in Bluewater last week, will open in Newbury and Watford on 27 October, Berkhamstead on 3 November and Woking on 24 November. December will see openings in Welwyn Garden City and Durham on the same date – 15 December. A spokesman for Bill’s said: “As we grow, our all-day element, an essential element of the Bill’s concept, becomes stronger. We’re flattered that so many businesses are trying to do the same by rebranding their offering. But as the first brand to truly make this concept work, we like to think we are still one step ahead. We will continue to evolve and adapt, while holding fast to our core beliefs that great food and service, and strong teams, win the day.”

CAU to open two sites in November: CAU, the junior brand operated by Gaucho Group, will open in Henley-on-Thames and Wimbledon next month. CAU Wimbledon, located within Wimbledon Village, will seat 120 covers with limited al fresco dining for the warmer months while CAU Henley, opening on Hart Street, will offer 110 covers. CAU will also launch its own brand wines available across the estate – including three Malbecs and one Marsanne Riesling – which have been introduced to accompany some of the premium steaks on offer, all of which are cooked in a coal fired Josper grill oven. CAU opened in Bristol in August, Kingston in April and Tunbridge Wells in February this year.

Starbucks bans electronic cigarettes: Starbucks has confirmed it has banned electronic cigarettes after a World Health Organisation report said the product may have hidden dangers. The company joins Caffe Nero, Pret A Manger, KFC, JD Wetherspoon, Fuller’s and others in imposing the ban. The WHO report said the vapour released by e-cigarettes contains toxins which may cause an ‘increased risk of disease and death’ among users and bystanders.

Second Boathouse restaurant opened in the north east: North east entrepreneur Martin Charlton has opened a new seafood restaurant – Blyth Boathouse has opened in Blyth’s Quay Road, a harbourside location, in a £300,000 investment. Charlton also owns The Old Boat House Amble. Blyth Boathouse is the flagship business in the regeneration of Quay Road and surrounding areas by Port of Blyth and its partners. A collaboration between Charlton and Blyth Harbour Commission, the purpose-built building will also house Blyth Boathouse Port Heritage Centre for tourists to find out more about the historic port and the Blyth Tall Ships project.

Domino’s wins alcohol licence for Newbury site: Domino’s UK has won an alcohol licence for a site on the Broadway, Newbury, Berkshire. It’s an extension of an existing trial – a branch in St Helens is charging £2.49 for a bottle of Budweiser, £2.99 for a bottle of Peroni and three Blossom Hill options for £7.99. Despite objections, the Newbury premises are licensed for the sale of alcohol ancillary to the delivery of pizzas from 10.00am – 5.00am daily, subject to agreed conditions offered as part of the application. Solicitors John Gaunt acted for Domino’s.

Observer names independent Leeds bar best in Britain: An independent Leeds bar, Friends of Ham, run by first-time bar owners Anthony and Clare Kitching, has been named as the best place to drink in the UK at the 2014 Observer Food Monthly Awards. Friends of Ham opened two-and-a-half years ago and is focused on pairing fine meats and cheeses with craft ales and wines. Anthony Kitching said: “It shows there is a good independent scene in Leeds and it also shows that the media, that can be quite London-centric, can look beyond the city to see things are happening elsewhere. In Leeds, there are a lot of people with a lot of ideas that are starting to get off the ground.” The couple chose Leeds to open their first bar after trips to America and central Europe gave them a taste for craft beer and charcuterie. The venue has since tripled its ground-floor bar space, which offers 14 beer taps and 150 bottles.

New England lobster shack brand Lobster Kitchen to debut this month: New England lobster shack brand Lobster Kitchen is to open on 28 October at 111 Great Russell Street in Fitzrovia, specialising in a range of American-inspired lobster and seafood dishes. Co-founded by Abigail Tan and Valeria Cinaglia, Lobster Kitchen will source its lobster from both New England and Canada, served in a variety of styles from its shack-inspired premises. The menu will focus upon a selection of four lobster rolls, starting at £15 – deep-fried legs, claws and knuckles with a choice of Marie Rose sauce, garlic and parsley butter, sweet chilli sauce or simply dressed with olive oil and chives. Split lobster tails steamed in white wine will also be available, along with a shrimp roll, split whole lobster, lobster bisque, lobster salad and lobster mac’n’cheese. The no-reservations restaurant will accommodate up to 40 covers in its 570 sq ft premises. “Serving up the best quality lobster, sourced from both Canada and Maine, Lobster Kitchen will introduce London’s diners to the traditional New England lobster shack experience,” said Tan. “The idea is to serve up a luxurious product, in a fun, accessible atmosphere.” A free lobster roll will be given to the first 300 customers through the door. In addition to this, a 50%-off-food voucher is available for the restaurant’s opening month, upon sign-up at the official Lobster Kitchen website.

Tanner Brothers flagship Plymouth restaurant is sold: Tanners flagship restaurant in Plymouth, owned by brothers James and Chris Tanner, has been sold and will close this weekend. But the restaurant will be reopened by one of their former head chefs. James Tanner said: “The restaurant is closing and Benjamin Palmer – who was our head chef at Barbican Kitchen – and his wife Francesca are taking over.” The Tanner brothers have started a new venture in Looe as well as a pub in Kent, the Kentish Hare, where they originally hail from. He added: “We’re trying to split out time so much – we’ve opened a place in Kent and I’ve just signed a new deal with ITV. Chris and we both have a family too. We still have some great plans and future projects we’re working on, which we can’t give too much away on yet.”

Northern Brew Co unveils tap room and bottle shop: Northern Monk Brew Co is opening the £100,000 Northern Monk Refectory, a tap room, bottle shop, events space and pop-up kitchen based in Leeds. Based at The Old Flax Store of Marshall’s Mill in Holbeck Urban Village. The new venue has been carefully restored back to the Yorkshire Stone flags and Iron columns. Brewing started in August on the ground floor and The Refectory will sit on the first floor and seat up to 60 people. The kitchen will be run by one of Leeds’ pop up kitchens, The Grub and Grog Shop. The food menu will feature beer in all sorts of forms, using syrups made from fresh hops, malt-infused oils to garnish dishes as well as braising various vegetables and meats in beer from the brewery. Russell Bisset, Northern Monk Brew Co founder, said: “We always wanted to create one of the most accessible taprooms in the UK. This is by no means (just) a brewpub. We have a capacity of up to 5,000 litres per week in house and will have 20 beers on at any one time in the tap room. We want it to be a real showcase of Northern British craft brewing, aiming to keep it at 80% produced in the north (of UK) with the other 20% world beer from progressive brewers. The Refectory will also host a bottle shop and will be doing brewery tours soon. It is very exciting.” Northern Monk currently has a core range of nine beers plus a range of specials and collaborations all brewed in house.

Faucet Inn applies to convert function room Haverstock Hill pub to hotel bedrooms or flats: Faucet Inn, the 24-strong pub operator led by Steve Cox, has applied to convert the upstairs area of the Sir Richard Steele in Haverstock Hill into a ten-bedroom hotel or flats. The move would force the popular Monkey Business Comedy Club to seek a new home. Writer and comic James Veitch, a frequent performer at Monkey Business, told the local newspaper: “The Sir Richard Steele is a public house steeped in history, a vital meeting place for local residents, a hive of community activity and one of the few remaining authentic and beautiful pubs in an area that is increasingly losing them to flats and other financially-motivated ventures. If we downsize this gem of a pub – in their own words a ‘north London institution’ – we’ll have lost something truly precious.” Faucet Inn recently added five quality bedrooms to its Warrington site in Maida Vale.

Matthew Clark reports surge in demand for local products: Leading wholesaler Matthew Clark has reported a sharp uplift in demand for ‘local products’, with sales of English beers, wines and spirits sharply up over the last 12 months. Matthew Clark’s English wines experienced a 53% uplift (MAT Sept 14) following the supplier bolstering its English wine range with distribution for Kent producer Chapel Down in March 2013. This growth has been fuelled by sectors such as fine dining, prestige and boutique hotels, and quality food-led establishments, where Matthew Clark has seen double-digit year-on-year growth in English wine sales. Beers and spirits from the UK have also experienced growth in the last 12 months, with sales up by 13% year-on-year. A number of British beers, including Meantime and Curious have been driving this burgeoning demand for locally-produced drinks, with sales up 168% and 1173% respectively. This trend is echoed in homegrown spirits such as Chase Potato Vodka, which has seen sales increase by 77%, and Sipsmith Sipping and London Dry Gin – up 254% collectively. Commercial director Ian Smith said: “We see locally produced beers, wines, and spirits as a key trend to watch.”

Stonegate Pub Company adds 16 new menu items to Slug & Lettuce winter menu: Stonegate Pub Company has added 16 new items to the menu of its Slug & Lettuce brand, launching this Thursday (23 October). New brunch options include smoked salmon and scrambled egg, served on toasted muffin, eggs royale, eggs Benedict and porridge served with honey. Smoked salmon also features on the new lunch choices as a Tosada and as a wrap with avocado. Hot dishes include rib-eye steak, matured for a minimum of 35 days and chargrilled to order, a smoked haddock, salmon and king prawn pie, with a cream and leek sauce and topped with buttery mash and cheese, and a brie and broccoli pasta bake, at just 498 calories. New on the dessert menu is the Amaretti and Irish cream cheesecake and a sticky treacle tart served with hot custard or vanilla ice cream.

Council objects to new Wetherspoon pub over loss of car park and right of way: Councillors in Biggleswade, Bedfordshire have voted against plans by JD Wetherspoon to alter the town’s Crown pub over the loss of car-parking spaces and the closure of a 182-year-old right of way. Wetherspoon bought the pub in May, and wants to spend £1.3m filling in the coachway arch to provide the main entrance to the pub and hotel. The building will also expand into the adjacent shop, which will be used as hotel space, as will the current garage, providing disabled accommodation. In total there would be 12 hotel rooms. However, the Mayor of Biggleswade, Hazel Ramsay, said: “Whilst recognising that the re-opening of the Crown Hotel would be beneficial we also want to preserve the unique features of the pub. At the well-attended council meeting we decided that we would object to the plans on several grounds. The proposed closure of a right of way, which dates back to 1832, and that the hotel is in a conservation area are important to us, as is the loss of parking being requested.” The opinions of Biggleswade Council will now be taken to Central Bed Council, which will consider its views when looking at the planning application.

Columbo group boss Steve Ball named as one of London’s 1,000 most influential: Steve Ball, founder of The Columbo Group, has been named one of Evening Standard’s 1000 Most Influential Londoners 2014. He was included within the ‘club owners and party people’ section alongside fellow tastemakers such as Nick Jones (Soho House), Guy Pelly, and Robin Birley, recognised as those that have shaped the London nightlife scene over the last twelve months. Ball’s career began during his student days when throwing parties was just a hobby. In 1999, Ball joined forces with Keith Reilly on the launch of Fabric. In 2006, he opened his first site, the Old Queen’s Head in Islington. Since then, the Columbo Group has expanded at the rate of about one site per year. After the Old Queen’s Head came Paradise By Way Of Kensal Green, Love and Liquor in Kilburn, XOYO in Shoreditch, The Blues Kitchen (Camden) and The Nest. In early 2014, The Columbo Group announced the purchase of The Cat and Mutton on Broadway Market and Bar Music Hall in Shoreditch – the latter was transformed into a second site for the groups Blues Kitchen concept.

Heineken sends staff home in Sierra Leone amid Ebola problems: Heineken’s unit in Sierra Leone has sent staff home and halted expansion plans as it joins a growing number of companies cutting operations in the West African nations hit hardest by an outbreak of Ebola. “The Ebola virus disease has severely affected our operations in terms of sales, production and manpower,” said Aminata Kasim-Carew, spokeswoman for Sierra Leone Brewery. Sales have dropped 70%, she said. “Most of our staff has been sent on leave.”

McDonald’s embarks on major US Facebook push: McDonald’s will launch 14,500 US Facebook pages by the end of the year, in an effort to get every US restaurant connected to customers via social media, Marketing Magazine has reported. The move will make McDonald’s the biggest brand on Facebook in terms of footprint, and marks the company’s growing focus on social media as a way to listen to customer complaints. McDonald’s has already rolled out 7,000 pages so far, with a further 7,500 to follow by the end of the year. It will also launch Twitter accounts for individual restaurants. The company has been working with CRM software company Salesforce to push unified brand messages to each page. David Martinelli, US digital marketing manager at McDonald’s, said the goal was to speak to customers in “real time”.

New Southend development aims to attract major restaurant brands: A new development on Southend seafront will bring up to 110 jobs with a major restaurant development. Goldfield Developments Limited has put forward plans to build 282 flats spread over six blocks and create space below for bars, restaurants, and shops in Marine Parade, Southend. The developer said to attract brands such as Nando’s and PizzaExpress into the restaurant units.

Fulham Shore begins trading on AIM: Fulham Shore began trading on AIM yesterday after completion of acquisition of 99.04% of Kefi, the operator of the Real Greek brand. For the year ended 29 June 2014, Kefi generated revenues of £8.6 million and a profit after tax of £800,000. The company has raised approximately £1.6 million before expenses via a subscription, resulting in the issue of 26,749,900 new Ordinary Shares at 6p per share. Chairman David Page said: “We are delighted to have completed the acquisition of Kefi. We believe the prospects for The Real Greek are strong and look forward to expanding the business as well as seeking further opportunities to build our portfolio of ‘best in class’ restaurants. The move to AIM will assist our strategy by providing access to future funding and enhancing our profile.”

Spirit Pub Company re-opens former Orchid pub in Keswick: Spirit Pub Company has re-opened a former Orchid Pub Company site in Keswick, The Dog and Gun on Lake Road, after a major refurbishment. The toilets have been replaced and an open fire, out of action since a chimney blaze a couple of years ago, has been repaired. The new decor is themed around Keswick Mountain Rescue Team, and the rescue team’s collection boxes in the walls will remain. The refurbishment comes after Spirit regained control of the pub in August. It will host a beer festival with five ales from Keswick Brewery for the rest of the month.

Closure of Peterhead Wimpy leaves four in Scotland: The closure of the Peterhead branch of Wimpy leaves just four sites now trading in Scotland. At its peak, the estate had 500 outlets across the UK – there are currently circa 110 outlets in Britain, including four in Inverness, Aberdeen, Fraserburgh and Glasgow. South African firm Famous Brands bought the company in 2007. Wimpy reported 13 site closures in the most recent year to 28 February 2013 with just two new sites opened. Overall, site numbers reduced to 110 in 2013 from 121 in 2012. The company saw a 6.8% decline in franchised income to £6,240,341. The company saw a 17% revenue decline the year before. As a franchised business, though, with its owner collecting royalty income, it is still profitable with pre-tax profit of £606,660 compared to £817,574 the year before.

Two brewers sign up for sustainability campaign: Two British brewers have already signed up to a new partnership initiative supported by the British Beer and Pub Association (BBPA) that will dramatically cut the cost of packaging waste. Charles Wells and Hook Norton have joined the scheme and other BBPA members are expected to follow shortly. The new scheme was introduced to BBPA members at a well-attended workshop in Birmingham last month. Rapid progress is being made in recruiting members, not least because of the major cost savings that can be achieved, with an estimated cost reduction of around 17% for the average BBPA member – around £150,000 per year, per company. Hook Norton’s managing director James Clarke stated: “Joining Sustain was a no-brainer for Hook Norton; it delivers cost savings while providing comprehensive support for our business. It’s great to see the industry coming together in this way.” Miles Selby, head of purchasing at Charles Wells, said: “We’re delighted to be among the first companies to join the SUSTAIN partnership as we actively seek schemes that improve our business. Following a full review, we believe that the combination of cost savings and industry specific expertise in this initiative is very powerful and will be a great benefit for the company.”

Edinburgh Grassmarket restaurant comes on the market: The leasehold of an Italian restaurant in the Grassmarket area of Edinburgh, has been come on the market through agent Christie + Co. Ristorante Gennaro & Pompeii was started by Gennaro and Lorna Veneruso in 1984. It has 105 covers with an additional outdoor trading area (subject to annual consent) on the Grassmarket of potentially another 75 covers. Barry McNeil, of Christie + Co, said: “It is very rare for a restaurant or licensed trade opportunity to come on the open market in the Grassmarket. Given this fact, it is of no surprise to me that there is already early interest in the business.” Christie + Co is seeking offers over £275,000 for the lease premium with rental offers invited. A brand new 21-year lease will be on offer. 

Tragus cuts energy consumption by 9%: Cafe Rouge and Bella Italia operator Tragus has cut its energy demand by 9% after deploying a new software tool that aims to identify unnecessary consumption across the estate. Tragus said it had used the iSee platform, developed by Carbon Statement in a pilot project last year, to reduce power demand across 50 items of equipment, including energy intensive technologies such as lighting and dishwashers. The iSee operational engagement programme is designed to change the behaviour of employees in the hospitality sector, by making it easier for them to report on energy use, identify savings, undertake energy-saving best practices, and take advantage of incentives targeted at energy efficient practices. “Having piloted the plan, we over-achieved against our reduction targets as the methods put in place by Carbon Statement proved so successful,” said Phil Derbyshire, property director for Tragus.

Survey warns of poor September like-for-like for McDonald’s franchisees in September: McDonald’s sales in the US have been weakening throughout the summer, and that didn’t change in September, according to Janney Capital Markets analyst Mark Kalinowski’s survey of the company’s franchisees. In the survey, operators said their like-for-like sales fell 3.6%. That would be the worst monthly performance for the company since December 2013’s weather-affected 3.8% decline. The survey prompted Kalinowski to reduce earnings estimates on McDonald’s ahead of the company’s quarterly financial report, scheduled to be released today Tuesday 21 October.

Wychwood sells one million pints of Piledriver: A beer named in honour of one of rock legends Status Quo’s most famous albums has sold over a million pints in just seven months. Chris Keating, marketing manager from Wychwood Brewery, said: “The reception from the fans has been amazing. Word has spread about what a great beer Piledriver is, because it’s not just Quo fans who are buying it, beer fans are, too.” Status Quo singer Francis Rossi added: “This is incredible news – we haven’t seen sales figures like that since the 70s! People seemed to love Piledriver from the moment we launched it, and that success just kept rolling.” 

Birmingham sets limit of eight lap-dancing clubs in the city: Licensing chiefs have imposed a cap of eight lap-dancing clubs in Birmingham city centre – and will not allow any more to open. The council’s licensing committee said there are fears that any more clubs, particularly in the Broad Street and pub and club areas, would lead to the city getting a ‘sleazy’ reputation. Four years ago, the committee decided not to set a limit on sexual entertainment venues, but now opinions have changed and they have decided to draw a line at eight within the city centre ring road – the current number. Previously there have been as many as 12 active licences in Birmingham – although not all businesses were active at the same time. Public consultation over the policy has consistently shown that a majority of residents and businesses support a total ban on strip clubs. But defenders of the industry say gentlemen’s clubs are a key part of Birmingham’s business conference offer.

London Velvet is 85% funded on Crowdcube: London Velvet, the brand that launched in June 2013 and is made from a blend of London style Porter Ale and West Country Cider, is 85% funded on crowd-sourcing website Crowdcube – its investment target is £35,000. London Velvet’ founder David Green is hosting an event today at the Lord John Russell pub in Marchmont Street, London between 5pm and 8pm when investors can sample London Velvet but also hear about the company’s plans and ambitions for the future. London Velvet is currently stocked in over 50 Tesco supermarkets, a number of independent pubs and off licence retailers. The company is also aiming to develop a strong presence in both on-trade (pubs) and off-trade (supermarkets and off licences), as well as developing key export markets.

Iconic Vauxhall pub sold to new owners: One of London’s oldest gay pubs, the Royal Vauxhall Tavern in Vauxhall has been sold to new owners. Publican James Lindsay told Pink News: “As current joint owner of Royal Vauxhall Tavern, I am happy to respond and clarify the situation. RVT has been sold and I have been retained by the new owners to operate a new company trading as Vauxhall Tavern London Ltd. Sadly, RVT has made substantial losses in recent years, which has been the driving force in the sale being necessary. There were two very strong offers made to us. One would have seen RVT closed for immediate development. I forcibly resisted that offer, instead working with the new owners, who I believe understand, respect the history and culture of RVT. It will undergo a full refurbishment both internal and external, which will see the first floor being opened as a wine and champagne bar with a new toilet provision at first floor level. I hope that all of us who care about the future of the RVT will support this.”

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