When The Old Auctioneer, a historic and much-loved pub in the heart of Banbury, Oxfordshire, was hit with a proposed rent increase—despite the town centre struggling with reduced footfall, rising costs, and shifting consumer habits—we stepped in to help. What followed was a textbook case of how the Pubs Code and the Market Rent Only (MRO) process can be used as a powerful lever in rent negotiations.
Banbury, like many traditional market towns across England, has seen its town centre hit hard in recent years. With major retailers pulling out, high street vacancies increasing, and consumer demand shifting toward out-of-town retail and online shopping, local businesses have been left to shoulder the burden.
Rising utility bills, supply chain inflation, and staff shortages have only added to the pressure. In this economic environment, the idea of increasing rent—let alone by a five-figure annual amount—was out of touch with commercial reality.
The pub company proposed a significant rent uplift at The Old Auctioneer during a scheduled rent review. Our client, Nigel, the pub’s tenant, was understandably concerned. The proposed new rent simply didn’t reflect the current economic conditions—or the trading reality on the ground.
Despite Banbury’s downturn, the landlord was facing demands based on outdated or unrealistic rental expectations. That’s when Nigel got in touch with us at MDE Pub Consultants, and we took action.
We advised Nigel to trigger the Market Rent Only (MRO) option under the Pubs Code. This legal right, available to tied tenants of pub-owning businesses with 500 or more tied pubs, allows tenants to go free-of-tie at rent review, lease renewal, or upon certain triggering events.
In this case, the MRO process was not only a pathway to a fairer deal—it was also a negotiation tool.
By initiating the MRO procedure:
✅ We forced the pub company to submit a parallel free-of-tie rent proposal.
✅ We created a framework for comparison, transparency, and leverage.
✅ We slowed down the rent review timeline, giving the tenant more breathing room.
Once we entered into formal MRO negotiations, we were able to demonstrate, using trading accounts and comparables, that the proposed rent simply wasn’t sustainable. Faced with strong evidence, the pub company backed down and a new lower rent was agreed.
We also ensured that the pub company removed annual RPI-linked rent increases from the lease, to ensure he would be no worse off than under a free-of-tie lease.
📌 No arbitration was needed. No thousands wasted in legal fees. Just a fair, commercial agreement.
Nigel, the landlord of The Old Auctioneer, was delighted—not just with the outcome, but with how stress-free the process became once we took over.
Why This Matters: Lessons for Other Pub Tenants
This is not a one-off. We’re seeing many pub tenants across England, Wales and Scotland facing:
The Pubs Code and MRO process exist to level the playing field—but tenants often don’t know how or when to use them.
At MDE Pub Consultants, we’ve advised on over 200 MRO cases across the UK since 2016, helping tenants like Nigel avoid costly disputes and secure fair terms.
👉 Read more: Highlighted Case Studies by MDE Pub Consultants
Key Takeaways for Tenants
If you’re a tied pub tenant and facing:
You have rights. The Pubs Code gives you options. And we can help.
📞 Need Help With Your Rent Review or MRO?
If you’re a tenant considering the Market Rent Only option or are involved in a Pubs Code dispute, don’t go it alone. We can:
Contact us today at info@mdepc.co.uk or call 0330 088 3133 to speak with a consultant.
🏷 Tags for This Blog Post
#PubsCode #MRO #RentReview #PubTenantSupport #FreeOfTieLease #PubConsultants #MDEPubConsultants #TenantRights #Banbury #OldAuctioneer
At MDE Pub Consultants, we believe every pub deserves fair terms, profitable operations, and a clear path to growth—regardless of size or structure. Ready to discuss how our expertise can empower your next steps?
Build a stronger, fairer future for your pub business—get in touch with MDE Pub Consultants today.