Pubs Code Adjudicator Investigates Stonegate Pub Partners Over Tenant Mistreatment

The Pubs Code Adjudicator is investigating Stonegate Pub Partners over allegations that the company mistreated tenants across more than 3,000 of its venues. The industry regulator launched the probe after reports emerged of tenants facing excessive repair bills, aggressive debt recovery efforts during health crises, and delays when attempting to exit tenancies.

A survey conducted by the regulator identified Stonegate as the worst large pub company for tenants, recording a satisfaction rating of 39%. Stonegate, which is owned by the private equity firm TDR Capital, has denied that these issues are systemic. The company stated that its interests are aligned with its tenants and noted that it is investing record amounts in its properties.

In response to the investigation, MP Rachael Maskell called for a total reform of the tied tenancy system. Maskell characterized the relationship between pub companies and their tenants as feudal, arguing that the current model entraps business owners in financial loss.