A select committee has demanded assurances from the Pubs Code Adjudicator’s office as it mulls an inquiry into the operation of the code.
Labour MP Rachel Reeves, who was elected chair of the Business, Energy and Industrial Strategy Select Committee in July, has written to adjudicator, Paul Newby, as for key information to provided by the end of next week.
As well as the latest data for MRO agreements granted, arbitration decisions and waiting times, Reeves asked what assessment Newby had made regarding the effectiveness of the code and how it is being followed by pubcos.
She wrote: “You will recall that the previous Committee expressed concerns to the Secretary of State about your own recruitment and about the integrity of the new regulatory framework. Since I was elected Chair in July, concerns have been raised with me by tenants’ representatives about the administrative convenience and effectiveness of the new Market Rent Only (MRO) application process and whether the Code is operating as Parliament intended. To assist the Committee in considering whether to inquire into the operation of the Code at this stage, it would be helpful to have some factual information and your own assessment of recent progress.
“In particular, how many tenants have obtained new MRO agreements; how many tenants have been through the entire MRO process and obtained an independently assessed rent? How many arbitration decisions have you made, and how many applications are awaiting decision; and what steps you have taken to ensure timely decisions are taken?
“What assessment have you made about the working of the Code and its enforcement following the verification exercise you commissioned which reported in August. What representations have you made to Ministers on the effectiveness of the Code and the way that the MRO process is being followed by pub owning companies and tenants?
“It would be helpful to have a response by 26 October.”
