Beer Orders> (Hansard, 11 January 1995)

§ 14. Mr. Wareing
To ask the President of the Board of Trade what plans he has to make changes to the beer orders following the planned changes in the management of the Grand Metropolitan estate.

§ Mr. Jonathan Evans
I assume that the hon. Gentleman has in mind the recent decision announced by Grand Metropolitan to withdraw from the direct management of Inntrepreneur Estates Ltd. These changes have no effect or bearing on the beer orders. I therefore have no plans to make any changes to those orders.

§ Mr. Wareing
Is it not time that the DTI carried out a thorough inquiry into the pub activities of Grand Metropolitan through Inntrepreneur Estates, in which Grand Metropolitan still owns a share? Is the Minister aware that last year 10 per cent. of Inntrepreneur tenants were driven out of business because of the chronic over-renting of premises and other aggressive policies pursued by Lord Shepherd and Grand Metropolitan? Is he aware that most Inntrepreneur tenants now regard Lord Shepherd and Grand Metropolitan as the Rachman of today's pub trade? It is alleged that there have been 14 suicides among tenants of the organisation.

§ Mr. Evans
I am aware that my predecessor met the hon. Gentleman last year, together with representatives of the tenants. I am also aware that a delegation led, I believe, by my hon. Friend the Member for Southampton, Test (Mr. Hill), had a meeting with my predecessor. It was made clear at that time that the Department is perfectly happy to investigate—and will arrange for the Director General of Fair Trading to investigate—any allegation of a breach of the beer orders, or any breach of undertakings given by IEL at the time of the takeover.
Such matters as have come to the Department's attention since then have been investigated. I am bound to say, however, that given the strength of the remarks made by the hon. Member for Liverpool, West Derby (Mr. Wareing), I rather hoped that he would be more forthcoming. The Department could not be asked to do more than make that offer to the hon. Gentleman, if there are specific allegations of breaches of the beer orders or of undertakings made by IEL.

§ Mr. Couchman
The House will know that until recently I ran a family company operating public houses in London. I wish to dissociate myself from the remarks of the hon. Member for Liverpool, West Derby (Mr. Wareing). I have now disposed of my interest in that company, apart from remaining a non-executive director for a brief period.
It is now five years since the flawed report by the Monopolies and Mergers Commission, "The Supply of Beer", was published and the beer orders were passed by the House. May I urge my hon. Friend to get his Department to review the operation of those orders? The British pub remains in severe jeopardy as a result of many factors, not simply the orders themselves.

§ Mr. Evans
As I told the hon. Member for West Derby, my Department is certainly prepared to investigate any specific allegations that are made. If my hon. Friend has any such allegations to put before the Department, they will be examined.