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London’s trade is “suppressed”, “critical” fully resumed on June 21, Green King boss warns

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Lean KingBoss warns that London pubs are seeing “suppressed” transactions compared to other parts of the country, giving Boris Johnson the “significant” certainty of an unlimited reopening on June 21. I urged you to provide it.

Greene King has about 1,500 managed pubs and about 1,000 tenants in the UK. Only 20% of the 151 managed pubs in London’s Zones 1 and 2 are currently open.

CEO Nick Mackenzie told Standard that the group now accounts for about 30% of normal revenue, despite the “euphoria” seen at the time of resumption.

The fact that outdoor-only service restrictions apply until at least May 17th means that in bad weather, the average pub trades “if you’re lucky” at 50% of normal levels.

“The fact that few pubs are actually open and everyone is in the same pub distorts what we like. We’re not making money and we’re definitely reinvesting until we post. You can’t.-June 21st, “Mr. Mackenzie said. “London was a particularly big challenge. Only about 20% of pubs opened in London, and trading is modest compared to other pubs.

“We need to reach June 21st, where they are important [government] If they do what they promise, they can go back to unlimited trading and make drinks at a pub in London. “

McKenzie said he was “basically” opposed to “non-functional” vaccine passports. According to the group’s latest survey, 26% of respondents said they would not go to a pub if they needed a vaccine passport. This sector needs government support.

The foothold in the city and the West End was hit by travel restrictions and telecommuting instructions. The pub chief urged the mayor’s office, Westminster, and the municipality to “work with the industry to say,’Yes, how do you get people back into the city?'”

Many CEOs are currently looking at future hybrid work models that see office workers in town a couple of days a week. McKenzie acknowledged that the future of flexiworking would “apply extra pressure” on pubs in the city center, but said hospitality could “adapt” to changes in consumer behavior.

The comment comes from Greene King, who has provided 607 redundancy since the outbreak of the pandemic, reported a statutory pre-tax loss of £ 248.6 million in the 36 weeks leading up to January 3.

Sold in 2019 to CK Asset Holdings, owned by Hong Kong-based billionaire Li Ka-shing, under a £ 4.6 billion acquisition deal, the company provided tenants with rent relief at a cost of £ 27 million.

Mackenzie labeled the accounting period as “very difficult.”

“We’ve used the time to blockade to advance strategic priorities such as boosting sales with attractive brands, improving the customer experience, and investing in digital. It’s extremely important in that respect. ”

“I’m confident in the medium to long term because this sector is always alive. One of the things we found when resuming was that people reconnected to the pub … that’s a good thing. . “

London’s trade is “suppressed”, “critical” fully resumed on June 21, Green King boss warns

Source link London’s trade is “suppressed”, “critical” fully resumed on June 21, Green King boss warns

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