Heineken to Reopen Over 60 Closed Pubs, Investing £39m in Refurbishments

 

Heineken to Reopen Over 60 Closed Pubs, Investing £39m in Refurbishments

Heineken, the brewing giant, has announced plans to reopen 62 pubs that were closed in recent years, investing £39 million in refurbishing hundreds of sites across the UK. This move is expected to create over 1,000 new jobs and breathe new life into the struggling pub industry.

The UK pubs industry has been severely impacted by closures, both during the Covid pandemic and afterwards, due to cost of living pressures. According to the British Beer and Pub Association (BBPA), pubs have been shutting at a rate of 500 a year between 2021 and 2023. Heineken's Star Pubs & Bars chain, which currently operates 2,400 pubs, had 2,700 pubs across the UK in 2019.

The company plans to renovate over 600 pubs, focusing on transforming tired pubs in suburban areas into premium locals. This move reflects the changing habits of customers, who are cutting back on commuting into city centers and seeking more local options.

Heineken aims to reopen 156 pubs by the end of this year, reducing the number of closed pubs in its estate to pre-pandemic levels. Some of the pubs that have been shut for over four years are being refurbished and reopened, including The Ship in Worsbrough, Barnsley, and The Ashford Arms in Derbyshire.

The company is also introducing "subtle zoning" to allow customers to enjoy different activities, such as watching sports and dining, without disturbing each other. This will be achieved through dividing screens, distinct changes to lighting, sound systems, and furniture styles.

While the news is welcomed by the pub industry, environmentalists have raised concerns over the destruction of an apple orchard to make way for one of the new pubs. The orchard, which was home to over 100 apple trees, was cut down to build a new pub in the village of Chiddingfold, Surrey. Local residents and environmentalists have expressed disappointment and outrage over the loss of the orchard, which was a beloved community space and habitat for local wildlife.

Heineken's investment in the pub industry is seen as a positive sign of growth after the pandemic and cost of living crisis. Other pub chains, such as Greene King, are also investing in new breweries and pubs, demonstrating confidence in the sector's future.

Emma McClarkin, chief executive of the BBPA, welcomed the news, stating that it demonstrates confidence in Britain's beer and pub sector, which will help generate growth in local economies across the UK. However, she also emphasized the need for a longer-term and more supportive fiscal and regulatory framework to unlock further growth and investment opportunities.

In the recent Budget, Chancellor Jeremy Hunt announced a freeze on alcohol duty until February 2025 and extended a 75% discount to business rates for retail, hospitality, and leisure firms until 2025. While these measures are seen as positive, environmentalists are urging the government to consider the impact of development on local ecosystems and community spaces.

As Heineken and other pub chains invest in new pubs and refurbishments, they must also consider their environmental footprint and the impact on local communities. The destruction of the apple orchard in Chiddingfold has raised concerns about the company's commitment to sustainability and community engagement. It is crucial that businesses prioritize environmental responsibility and community involvement as they grow and develop.