The Tied Pubs (Scotland) Act 2021 has ushered in significant change for Scotland’s pub sector. With the Scottish Pubs Code now due to be fully implemented in June, tied pub tenants will soon gain strengthened rights and protections, ensuring a fairer, more transparent relationship with their pub-owning companies. Similar to the regulations in England & Wales, this Code is designed to level the playing field—offering options for free-of-tie lines and providing a robust framework for rent negotiations and dispute resolution.
At MDE Pub Consultants, we’re fully prepared to support tenants and pub-owning businesses as they adapt to these new requirements. Drawing on extensive experience in lease negotiations, Code compliance, and arbitration, we offer clear, strategic guidance that helps you maximise your commercial opportunities while meeting your regulatory obligations.
Scotland’s pub sector operates under unique legal and market conditions. The Scottish Pubs Code addresses these nuances, all while upholding the core principle of fair treatment for tied tenants.
Much like in England & Wales, the Code gives Scottish tied tenants specific avenues to challenge unfair practices, negotiate more equitable lease terms, and potentially opt for free-of-tie lines to reduce cost burdens.
Central to this legislation is a Scottish Pubs Code Adjudicator, tasked with overseeing compliance, mediating disputes, and arbitrating where necessary. Their decisions will carry legal weight—ensuring that Code violations are addressed promptly and effectively.
1. Fair & Equitable Lease Terms
Tenants should be no worse off than if they were operating a free-of-tie pub. This principle extends to rent calculations, product ties, and overall lease obligations.
2. Transparency & Disclosure
Pub-owning businesses must share essential information—including comparable rent data and financial assumptions—so tenants can make informed decisions.
3. Free-of-Tie Lines & Alternative Options
As part of ensuring tenant choice, the Scottish Pubs Code provides for free-of-tie lines. This lets tenants purchase certain products or services outside the landlord’s supply chain, which can significantly reduce costs and bolster profitability.
4. Dispute Resolution Mechanism
If a tenant suspects non-compliance with the Code—be it rent disputes, refusal of free-of-tie requests, or other issues—they can refer the matter to the Adjudicator for impartial arbitration.
1. Regulatory Enforcement & Guidelines
By June, the Scottish Government will have published final guidance on the Code’s implementation, outlining how and when tenants can utilise their new rights—including those around free-of-tie lines.
2. Increased Tenant Leverage
Tenants gain more negotiating power to challenge tied obligations, request improvements to lease terms, and potentially lower costs by sourcing goods independently.
3. Compliance Focus for Pub-Owning Businesses
Landlords must review their Scottish pub leases to ensure they align with Code rules—especially those concerning rent levels, product ties, and free-of-tie line requests.
4. Role of the Adjudicator
The Scottish Pubs Code Adjudicator will handle referrals and enforce compliance. Expect them to issue guidance notes, case studies, and decisions that will shape industry practices going forward.
• Lease Reviews & Pre-Code Readiness
We examine your existing agreements to identify possible Code breaches or areas ripe for negotiation—particularly important now that the Code takes full effect in June.
• Free-of-Tie Line Guidance
Unsure how to introduce free-of-tie options? We provide strategic advice on the financial benefits, logistical considerations, and negotiation tactics to secure these lines.
• Dispute Resolution & Representation
Where you suspect a landlord is non-compliant—from unfair rent proposals to denial of free-of-tie requests—we prepare a robust referral to the Adjudicator, safeguarding your interests.
• Rent Negotiation & Adjustments
Combining market data and extensive industry experience, we help you secure fair, Code-aligned rent terms that could enhance your pub’s profitability.
• Code Compliance Audits
We assess your Scottish pub portfolio, ensuring lease agreements and operating policies align with the new requirements on rent, product ties, and free-of-tie lines.
• Lease Structuring & Commercial Strategy
Our consultancy helps update or create new lease terms that are both profitable and Code-compliant, balancing tenant rights with your commercial objectives.
• Arbitration & Dispute Defence
Should tenants raise disputes or referral to the Adjudicator, we offer knowledgeable support for amicable settlements or robust legal defence.
• Ongoing Best Practice & Adaptation
With the Code’s imminent rollout, we provide continuous guidance—ensuring you adapt quickly to any amendments, clarifications, or Adjudicator rulings post-June.
1. Recognised Code Expertise
Our background with the England & Wales Pubs Code—having managed 200+ MRO proposals—equips us to handle Scotland’s new regulations effectively.
2. Proactive Approach
We stay current with legislative developments, enabling clients to anticipate challenges, exploit opportunities (such as free-of-tie lines), and maintain compliance from day one.
3. Strategic & Tailoured Solutions
Every client’s needs differ. Whether you’re a single pub tenant or a large pubco, we provide bespoke plans that fit your operational and financial goals.
4. Record of Success
Trusted by many operators, we’ve built a reputation for results-driven advice and effective dispute resolution in a regulated environment.
5. Long-Term Partnership
Our role doesn’t end once the Code goes live. We offer ongoing updates, training, and strategic guidance to ensure you stay compliant and competitive as the Scottish Pubs Code evolves.
With the Code’s full implementation just around the corner, preparing now can save you significant time, money, and stress. Whether you’re a tenant exploring free-of-tie options or a pub-owning business aiming to bring your leases up to Code:
If you want to align with the Scottish Pubs Code or take advantage of its new tenant protections, MDE Pub Consultants is here to help. Our proven track record in Code compliance, rent negotiations, and arbitration guarantees you’ll be prepared for this pivotal change in Scotland’s pub industry.
Call: 0330 088 3133
Email: info@mdepc.co.uk
Website: www.mdepc.co.uk
Get ahead of the Scottish Pubs Code—contact MDE Pub Consultants today for proactive, expert support.
If you need any help, please feel free to contact us. We will get back to you within 1 business day. Or if in a hurry, just call us now.
Call : 0330 088 3133
Info@mdepc.co.uk Mon – Fri 09:00-17:00