The British Beer & Pub Association has surveyed members, showing alarming results.
Concerns that UK pubs have been abandoned without the financial support promised has left many in jeopardy of permanent closure.
Members of the pub association were asked if pubs had received the £10,000 or £25,000 grant.
They were also asked – if they had applied for finance – whether the application had been successful or if they were still waiting on a decision.
On grants: 58% of leased and tenanted pubs were yet to receive a £10,000 grant they were eligible for – 61% of pubs hadn’t yet received a £25,000 grant they were eligible for.
Further analysis on grants conducted already has also found that there is a ‘postcode lottery’ on the delivery of grants, with the pay-out rates varying enormously between different Local Authorities.
Pubs face permanent closure – banks not communicating
No member company reported being declined support by one of the available loan schemes (CFF, CBILS & CLBILS). But only 25% have so far been told their application has been successful.
The applications made by individual pub lessees and tenants for one of the Government back loan schemes, saw only 11% being successful.
The British Beer & Pub Association is now urgently pressing Government to speed up delivery of financial help, and increase the number of loans and grants offered to pubs.
The pub body welcomed the recent introduction of the Government underwritten ‘Bounce Back Loan scheme.
CEO’s view – Pubs face permanent closure
Chief Executive of the British Beer & Pub Association, Emma McClarkin said: “More than half of pubs are yet to receive the grants they are eligible for and 75% are still waiting on a decision on the Government backed loan they have applied for.
“Pubs and breweries have large costs to cover, so they are experiencing significant cash flow issues. How can the Government expect them to survive the COVID-19 lockdown without this vital financial support?
“If the Government doesn’t take decisive action now to both widen and speed up the delivery of grant payments and their loans, then pubs and breweries are at real risk of not surviving the lockdown and jobs will be lost across the UK.
“We welcome the introduction of the ‘Bounce Back Loan’ scheme to specifically help small businesses, but ask that pub and brewery applications are prioritised and processed quickly.”
“For the sake of all the communities across the UK our pubs and breweries serve – and the 900,000 people employed by them – the Government cannot allow them to close.
“The UK’s 47,000 pubs urgently need the support they have been promised. The Government must deliver it now.”