Greene King has revealed plans to potentially sell off 150 of its pubs and convert another 150 into tenanted establishments. The company has identified 300 sites that it believes could benefit from different operational models. While specific at-risk locations have not been disclosed, Greene King intends to transfer these pubs to a dedicated business unit during the transition phase.
Additionally, Greene King has earmarked a small number of sites for closure, amounting to less than 2% of its managed estate. The company, known for brands like Greene King pubs, Hungry Horse, and Chef and Brewer, operates around 1,500 managed sites and 1,000 leased, tenanted, and franchise pubs. Proceeds from the pub sales will be reinvested into core establishments and a digital initiative worth £35 million aimed at enhancing customer loyalty.
CEO Nick Mackenzie expressed confidence in the new pub estate strategy, emphasizing the alignment with evolving consumer habits and dynamic market conditions. The restructuring, leveraging the strengths of its Pub Partners business, aims to optimize brand performance, digital investments, and customer experience.
In related developments, the UK Government has announced a 15% reduction in new business rate bills for struggling pubs as part of a support package. Treasury minister Dan Tomlinson confirmed the measure’s implementation from April, with a freeze on bills for pubs for an additional two years. The valuation model for pubs is also set for a review.
As part of licensing reforms, pubs and licensed venues will have extended opening hours during later stages of this summer’s World Cup matches. The industry has been rallying for support, with initiatives like the Your Pub Needs You campaign by the Mirror advocating for landlord and community backing amid challenges posed by tax hikes and the phasing out of Covid-era discounts.