Premium Club members to receive two new databases this week: Premium Club members are to receive two new databases this week. The next Propel UK Food & Beverage Franchisee Database will be sent out on Wednesday (11 September), at noon. The database, which is updated and published on a bi-monthly basis, has ten new entries. These include McDonald’s franchisees The Lee Collective and Zap Arches and Subway franchisee Symbro Group. Premium Club members will also receive the next Turnover & Profits Blue Book on Friday (13 September), at midday. The database will feature 57 updated accounts and 21 new companies for a total of 978. Premium Club members also receive access to four other databases: the Multi-Site Database, the UK Food and Beverage Franchisor Database, the UK Food and Beverage Franchisee Database and the Who's Who of UK Hospitality. All Premium Clubs members will be offered a 20% discount on tickets to Propel paid-for events including the Talent and Training Conference (1 October), Restaurant Marketer and Innovator (two days in January 2025) and Excellence in Pub Retail (May 2025). Operators that are Premium Club members are also able to send up to four members of staff to each of our four Multi-Club Conferences for free. Premium Club members receive their daily Propel Info newsletter 11 hours earlier than standard subscribers, at 7pm the evening before. They also receive videos of presentations at eight Propel conference events two weeks after they are held. This represents around 100 videos of industry insight over the course of the year. Premium Club members will be sent a dedicated monthly newsletter that will highlight key updates in the sector and direct subscribers to all the vital content their membership offers. Premium Club members also receive exclusive opinion columns every Friday at 5pm, which include the thoughts of Propel group editor Mark Wingett and a host of industry leaders from across the sector. A Premium Club subscription costs an annual sum of £495 plus VAT for operators and £595 plus VAT for suppliers. Companies can now have an unlimited number of people receive access to Premium Club for a year for £995 plus VAT – whether they are an operator or supplier. Email kai.kirkman@propelinfo.com today to sign up.

Revolution confirms Luke Johnson’s appointment as chairman: Revolution Bars Group, the operator of the Revolution, Revolución de Cuba and Peach Pubs brands, has confirmed serial sector investor Luke Johnson’s appointment as its new chairman. Johnson was proposed for the role when Revolution set out its £12.5m fundraise plan and launched its sales process in April. His appointment follows the retirement of Keith Edelman, who had been chairman since February 2015. Revolution chief executive Rob Pitcher said: “Keith’s strong leadership has been instrumental in steering the Group since 2015. Through IPO, the pandemic, unsolicited offers and the most recent fundraise and restructuring plan. As he steps down, we express our gratitude for his support and vision, which have left an enduring footprint on the company. We wish him all the best in his future endeavours. We are excited to be working with Luke who is vastly experienced in the Hospitality sector and brings a wealth of knowledge to enable the next phase of the group’s development.” Edelman added: “After over nine years as chairman of the group, the time has come for me to step down. I leave knowing the company is now in a stronger position and fit for purpose in today's marketplace. I extend my heartfelt thanks to the board, the management team, and all our dedicated colleagues for their support and commitment over the years. I am pleased that Luke has agreed to now become chairman and I firmly believe his outstanding experience within the hospitality sector will be instrumental in guiding the group in the future and I look forward to watching Revolution Bars Group thrive in the years ahead.”

C&C Group – first half earnings in line with expectations, commences CEO search: C&C has said that earnings in the first half of the financial year to 31 August 2024 have been in line with expectations, with net revenues expected to be -3%. Underlying operating profit is expected in the range of €39m-€41m, in line with expectations, principally reflecting the phased rebuilding of its distribution business. The company said: “Tennent’s achieved volume and value share growth over the latest 12-weeks, supported by targeted marketing campaigns around the Euro 2024 tournament and, despite mixed summer weather, Bulmers outperformed the cider market in Ireland. Our premium beer and cider brands, driven by Menabrea and Orchard Pig, continued to perform strongly, reporting double digit revenue growth. Performance in our Matthew Clark and Bibendum business has also been encouraging with net revenues expected to be +2%. Recovery from lost distribution customers in FY2024 has been strong, with distribution points for Matthew Clark and Bibendum in August +10% compared to August 2023. This growth, together with the efficiency initiatives implemented in the year to date, is expected to result in improved distribution margins in H1 FY2025. While current market conditions remain challenging, improving efficiencies, business simplification, winning customers and brand distribution remain our top priorities. We remain confident on achieving our operating profit target for the current financial year and making progress towards the operating profit target of €100m by FY2027. The board reaffirms its intention to distribute at least €150m to shareholders over three years while maintaining the group’s financial leverage target of approximately 1x Ebitda on a pre-IFRS16 basis. The second €15m tranche of our share buyback programme will commence today (9 September 2024).” The company also said it has reached an agreement with Budweiser Brewing Group, part of AB InBev, to restructure elements of their trading relationship. “Effective from 1 January 2025, C&C will reassume control and distribution of the group’s cider portfolio, including Magners, in Great Britain,” it said. “On the same date, AB InBev will assume control and distribution of its beer portfolio in the off trade in the Republic of Ireland. Bringing the sales, trade marketing and distribution responsibilities in house will provide both companies with the opportunity to strengthen their respective brand portfolios and distribution platforms.” The company also said it has appointed a new non-executive board member and commenced its search for a new chief executive. “Since the annual general meeting on 15 August 2024, we have been pleased to welcome Feargal O’Rourke as non-executive director of the board,” it said. “Prior to retirement, Feargal was managing partner of PwC Ireland and brings his considerable financial expertise to C&C. As previously announced, we intend to make a further non-executive appointment to the board in the near future. We have also commenced the recruitment process for the new chief executive officer, with the support of executive search firm Russell Reynolds Associates. A progress update on these appointments will be provided in due course.” The company has also launched a share buyback programme of up to €15m – part of the group’s plan to return up to €150m to shareholders over the next three fiscal years ending in February 2025, 2026 and 2027 through a combination of dividends and share buybacks.

 

Low paid workers set for 6% pay rise in national minimum wage push: More than a million low-paid workers will get a rise of about 6% next year as ministers pledge to push up the minimum wage. The Low Pay Commission says that it is planning to increase the national living wage to £12.10 an hour and may recommend a higher figure. Young workers are likely to get an even bigger increase as ministers say that 18 to 20-year-olds should be paid the same as those older than 21. While the rise has been hailed as “good news” for the low-paid, business leaders are warning it could put them off hiring staff, reports The Times. The living wage, currently £11.44 an hour, has risen above inflation in recent years but Labour has pledged to go further. Workers aged 18 to 20 can legally be paid a lower rate of £8.60 an hour but ministers have told the commission to move to “a single adult rate”. It now says it will recommend “larger increases for the 18 to 20-year-old rate” than for those over 21. Nye Cominetti, of the Resolution Foundation think tank, said: “It’s absolutely good news for workers. I’m sure many businesses were hoping for something less, but I’d be surprised if too many would be feeling hard done by.” Tina McKenzie, who sits on the board of the Federation of Small Businesses, said: “When mandatory wage increases come without the right support, small firms face intense pressure, making it harder to survive and recruit those who are out of work. Small firms are now saying labour costs are their biggest cost pressure.” A spokesman for the Department for Business and Trade said: “We are changing the rules to put more money in working people’s pockets. But we have also been clear we need to consider the businesses who pay these wages, employment prospects and the impact on the wider economy.”

Coffee shops introduce rules limiting remote workers using laptops: Two coffee shops have introduced policies aimed at stopping remote workers from “hogging” tables and limiting turnover. The Collective, in Caversham, no longer allows the use of laptops between 11:30am and 1.30pm on weekdays, with the devices completely banned at weekends. Manager Alex Middleton said the policy was about finding a balance where it “doesn’t compromise us losing money”. He said: “We are a small independent business, so we need to keep those tables busy and turned around – we can’t have people hogging the table and we don’t want to disrespect people that come in with laptops either.” He said people coming in with laptops often had “quite a low spend” but would sit at tables for “quite a long time”. Newbury coffee shop Milk and Bean has also implemented similar policies in hope of boosting turnover. The cafe introduced measures capping laptop use to an hour on weekdays and completely banning their use on weekends. Owner Chris Chaplin told the BBC: “Having [people using] laptops isn’t really ideal – it does mean a lower turnover and quite a low spend compared to people that aren’t on laptops. It also brings the vibe of the place down with people on laptops. On one hand, we rely on them for revenue, but on the other hand, they’ve got to be reasonable and have some self-awareness.”

Clarkson losing ‘£10 per customer’ at his new pub: Jeremy Clarkson has revealed he is likely losing “£10 per customer” at his new pub in the Cotswolds because of his strict business model. The Farmer’s Dog, which opened its doors last month, only uses produce from the UK – even the less obvious seasonings such as pepper and salt – in the hope of further supporting British farmers. However, he said he has quickly discovered the significantly higher costs for home-grown products. For example, an imported kilo of black pepper costs £10, but the British alternative costs ten times more. The TV star said he hoped to make a success of The Farmer’s Dog but that using only British produce meant that profit margins would be much lower. “It costs us 0.74p to get a sausage into here, but if I buy imported pig meat it is 0.18. There is something wrong with the food system in this country,” he said. But buying directly from local producers and guaranteeing fair pay for British farmers means an increase in price for pub customers, reports the Daily Mail. Hawkstone IPA, Hawkstone Premium, Hawkstone Hedgerow Cider, and Hawkstone Cider all come in at £6 a pint. Hawkstone Session Lager comes in at the fractionally cheaper cost of £5.50 per pint, which is the same price for a Hawkstone Pils, Hawkstone Breeze, and cask ale. The pub also sells cans of alcohol-free Hawkstone Spa lager for £3.10. Along with steak pie and mash (£19), other main courses include gammon steak (£19), sausages and mash (£18), as well as a vegetable and cheddar crumble (£15). Puddings cost around £8, with both apple crumble and cheesecake on the menu. Clarkson revealed he has created an upstairs VIP bar at the pub, but it is just for farmers.