BBPA comments on beer wastage allowance guidance

The British Beer & Pub Association (BBPA) has today responded to the publication of new guidance by the Pubs Code Adjudicator (PCA) for beer wastage allowances.

The new guidance was published on Wednesday 10th April and comes into effect from Monday 1 July. It seeks to give greater transparency to publicans on the inclusion of wastage allowances in their rent calculations. The new guidance comes after the PCA consulted the industry on the matter at the end of 2018.

Brigid Simmonds, BBPA's Chief Executive (pictured), commentsed, “Brewers and pub operators have always made allowances for beer wastage to account for beer that can’t be sold. The BBPA therefore supported the PCA’s proposals to make these clearer and more transparent.

“Unfortunately, in the new guidance, the PCA has increased the complexity of how allowances should be calculated and presented. This may confuse, rather than help, publicans. It will also lead to higher administrative costs and complexity for pub operators, who will need to modify their systems to reflect the greater detail now required.

“The new guidance acknowledges that there could be situations where third party suppliers are unable to provide pub operators with all of the information they require.”