‘We risk losing the British pub forever’: Venues face closing down as energy bills rise by thousands

Pubs across the country are reducing their hours and closing as energy bills skyrocket by tens of thousands of pounds in many cases, with landlords describing it as ‘an even bigger crisis than Covid’.

It comes as pub and brewery bosses warned of gas and electricity prices rising by as much as 300%, wiping out profits and forcing many to close. 

Six of the UK’s biggest pub and brewing company leaders called for urgent intervention by the Government in an open letter published yesterday.

Hospitality businesses are describing how the spiraling costs are impacting them, with many calling for immediate intervention from the incoming Prime Minister. 

Ye Olde Fleece, Highgate, Kendal – Increase of £80,000 to annual electricity bill

Ye Olde Fleece Inn in Kendal, which dates back to 1654, has seen a huge increase of £80,000 to it’s annual electricity bill.

The beloved historic pub currently pays £44,000 for its annual electricity bill, but was last week quoted £124,000 for the 12 months from Christmas. 

‘It is absolutely horrendous,’ Chris Moss, a director of Westmorland Hospitality, which runs the Fleece, told MailOnline.

‘The government needs to get a grip on this or we risk losing the British pub forever.’ 

‘We have to make that decision. Are they going to intervene? or are we just going to move forward and say the pub is going to be no more?’

He said while they had expected their bill to rise they were so shocked by how much it had gone up they had to check it with their broker, adding it has ‘probably increased again since then.’ 

The company said it is going to look at its energy consumption to try and keep its bills down by reducing hours and the food offering.

‘We are changing the way we cook because we simply can’t afford it,’ Mr Moss said.

The Fontmell, Shaftesbury – Michelin Guide gastropub closed ‘with immediate effect’ yesterday as bills rocket by £58,000

Upmarket Dorset gastropub The Fontmell, which featured in the 2022 Michelin Guide, announced it would close its doors ‘with immediate effect’ yesterday – as its bills are going up by an astonishing £58,000.

The closure of the B&B and pub in Shaftesbury, Dorset, has shocked the local community with punters saying it is in a ‘prosperous’ area.

The Fontmell’s Director John Crompton posted on Facebook that the pub no longer felt happy to pass the huge cost of energy bills onto their guests.

‘The reality is unless you charge £10-14 a pint, and £40 for a main course, then you’ve got no chance of survival, and I’m not going to pay that, and you’re not going to pay that. It’s an impossible ask,’ he told the i. 

Mr Crompton posted on Facebook: ‘It is with a heavy heart and great regret to say that The Fontmell will close with immediate effect other than to honour the bed and breakfast bookings that we already have.

‘This is not a decision that has been made lightly and we would like to thank all our guests for their support and help over the last 6 and a half years.’

Laura Barton, who had a table booked at the Fontmell for Sunday lunch, told the Bournemouth Echo the closure of the pub in a ‘prosperous’ area is ‘concerning’, as businesses and consumers face an ‘iceberg’ of mounting costs.

The Three Oaks, Gerrards Cross, Buckinghamshire – Bills up from £25,000 to £70,000-a-year

A popular Buckinghamshire gastropub has seen its bills almost treble from £25,000 to £70,000 for the year for our gas and electricity.

Landlord Henry Cripps told MailOnline that to save the ailing hospitality industry ‘some serious intervention is needed by whoever takes the hot seat at Number 10.’

 ‘At a time when many suppliers are refusing to supply hospitality businesses or asking for bonds equivalent to six months to a years use age it is an incredibly worrying time to be in hospitality, which can be so rewarding and enjoyable.

‘We will try and do everything we can to mitigate these extraordinary increases whilst protecting our team and our fabulous patrons.

He added that ‘so many of our friends in the industry struggle due to costs increasing across the board’ and that concern is increasing as they go into winter. 

The Royal Oak, Burford, the Cotswolds – Electricity bill ‘doubled’ by ‘thousands’

John Wilkins, 55, who has been the landlord at The Royal Oak in Burford for eight years, told the MailOnline his electricity bill has doubled since this time last year, increasing by ‘thousands’.

He said while they have been ‘fairly lucky’ that they are still experiencing footfall from the tourist season, ‘winter is going to be pretty tough’.

When asked if the pub could reduce it’s hours or shutdown completely, Mr Wilkins said ‘You can’t rule anything out… we are a little bit worried, there’s no doubt about that.’

‘We’re in the same boat as all pubs right now.’

He added that the energy ‘crisis’ is ‘100 per cent worse than Covid’.

The Park, Great Harwood, East Lancashire – Crisis ‘bigger than Covid’ led to closure

Another popular pub and restaurant, located in East Lancashire, also announced it is closing it’s doors, with costs no longer adding up. 

Darina and Craig Currie, landlords at The Park in Great Harwood, took to Facebook to express their heartbreak at its closure, which they described as ‘unavoidable’ as they expect things will only get worse.

After weathering the storm of Covid, which they described as ‘an incredibly difficult 12-18 months’,  the couple said that things were ‘finally looking up’.  

But they said, they are now ‘facing an even bigger crisis’.

They pointed to the ‘constant rising cost of beer, food and most importantly the utilities,’ adding: ‘We simply can’t afford to keep the pub open based on the current situation. 

‘It is sad but unavoidable, the numbers don’t add up and things are going to get more difficult, that’s the truth.’

The pub will be closing its doors from Monday 5 September, as its owner Admiral Taverns is currently looking for a new tenant to take it over. 

It is listed on their website for £21,000.

The Curries said ‘the brewery can’t find anyone (for now) to run it for the exact reasons that we are leaving (overheads). Hopefully this won’t be forever but in this current climate we just don’t know.’

The couple thanked loyal staff and customers, adding ‘we are very sad that your favourite watering hole will no longer be there’.

The Gillygate, York – 300-year-old pub closes as bills have ‘almost trebled’

A historic pub in York city centre, which dates back to 1811, has also closed after its monthly bill almost trebled. 

The Gillygate’s monthly bills have gone up a whopping £1,600, with payments rising from £900 a month to £2,500.

Brian Furey, who ran the pub for eight years, told the BBC, ‘It’s almost laughable, you get your bill and look at it and go “we can’t do that”.’

He said his team has tried to keep The Gillygate running and had considered whether Christmas might give it a welcome boost.

Mr Furey even said he contemplated taking out a loan to keep the beloved pub open, but said profits would not have covered the debt.

The Crown Inn, in Grewelthorpe, North Yorkshire – Reducing opening hours to cope with costs 

Another pub has decided to close its doors for two days a week in order to cope with spiralling costs. 

The Crown Inn, in Grewelthorpe, North Yorkshire, made the decision to close on Mondays and Tuesdays after their energy bills soared.

Owner Paul Dixon, who runs the pub, said: ‘It was a tough decision to take but we are a seasonal pub and it gets quiet in the winter.

‘When you have got the prices of fuel going up to turn all the equipment on it all adds up – it’s not viable.’

Five Fox Lane, Leicester – Bills set to rise from £10,000 a year to £55,000 a year

Meanwhile, a Leicester café is facing closure after its energy bill increased by a staggering £45,000 a year. 

Jan Gillbanks, who owns Five Fox Lane, has shared her dismay after her energy supplier wrote to confirm her hourly rate would be going up from 15p per KWH to 81p per KWH.

This is set to increase her bill from £10,000 a year to £55,000 a year. 

Jan said she instantly rang her broker to try and see how she could afford it, but that neither they nor any other energy company could offer a better deal.

‘Not a single company in Leicester would be able to pay such fees,’ she said. ‘It used to be £10,000 a year – so a £45,000 increase for the same energy is ridiculous.

‘We’re just getting over Covid, where the Government helped us a lot and supported us, but all of that will be for nothing if they don’t address the energy bills for businesses. 

‘There isn’t an energy cap for businesses and it’s getting to the point now where it’s just not sustainable.’

Jan has already looked into trying to cut back. However, no matter what she does, the bill would still be too high for her to pay, she said.