Fri 29th Aug 2025 - Stonegate CEO – we are becoming a partnership-led pub business Stonegate CEO – we are becoming a partnership-led pub business, reaches 200th managed to leased and tenanted conversion: David McDowall, chief executive of Stonegate Group, the UK’s largest pub company, has told Propel the business is becoming a “partnership led pub portfolio” as it marked its 200th managed to leased and tenanted conversion. He said the strategic shift from managed to entrepreneur-led, pub partner and Craft Union models was setting the group’s 4,300-strong estate up for long-term success. The business said the conversion strategy is underpinned by extensive data, insights and local market knowledge, enabling Stonegate to match each pub with the most effective operating model. Stonegate said the strategy is delivering an average profit uplift of £110,000 per pub. McDowall told Propel: “This strategic pivot not only strengthens individual pubs but also creates a leaner, more focused managed estate, which now stands at 550 from 800 sites two years ago. Therefore, the shift will see a materially smaller managed estate, but still one of the largest managed estates in the UK with a very strong portfolio of sites. But really what Stonegate is becoming is a partnership led pub portfolio. We see that as a very exciting pathway to continue to create value for shareholders and create opportunities for great operators, general managers and publicans all over the UK, and we're doing it at pace. Customers increasingly value the people behind the bar over the brand name above the door. By partnering with entrepreneurial operators, we’re building pubs that are more resilient, community-driven, and adaptable to evolving guest habits.” McDowall said a standout example of this is the Cutting Room in Melton Mowbray, Stonegate’s 200th converted pub, now thriving under its pub partners model. By offering a range of flexible agreements and a low barrier to entry, Stonegate said it has seen a material rise in individual pub enquiries. McDowall said the managed estate, though smaller than in prior years, remains a key part of the group’s portfolio “The managed business continues to be an important part of our overall group, and we remain very proud of our core managed estate of successful pubs, run by outstanding general managers,” said McDowall. “The success of our conversion programme demonstrates the importance of placing the right pub in the right model and highlights the power of entrepreneurial operators in driving community engagement.” A wide-ranging interview with McDowall forms part of today’s (Friday, 29 August) Premium Opinion, which will be sent to Premium Club subscribers at 5pm. Propel group editor Mark Wingett also looks at the week’s key sector events.