Greene King has announced plans to potentially sell 150 of its pubs and convert another 150 into tenanted pubs. The pub operator has identified 300 sites that could be better served under different models. Although the specific locations at risk have not been disclosed, these pubs will be moved to a new focused business unit during the transition.

Additionally, Greene King has pinpointed a small number of sites for closure, amounting to less than 2% of its managed estate. The company operates approximately 1,500 managed sites under brands such as Greene King pubs, Hungry Horse, Chef and Brewer, Farmhouse Inns, and Flaming Grill, along with 1,000 leased, tenanted, and franchise pubs.

The strategic move is aimed at reinvesting proceeds from the pub sales back into core pubs and a digital initiative worth £35 million to enhance customer loyalty. Nick Mackenzie, CEO of Greene King, expressed confidence that the new pub estate strategy will drive sustainable profitable growth in the evolving consumer landscape.

The recent governmental support package includes a 15% reduction in business rate bills for struggling pubs starting from April. Pubs will also benefit from a freeze on bills for the following two years in real terms, with a review of the valuation model used for pubs. Licensing reforms will allow pubs and other licensed venues to extend their opening hours during the later stages of this summer’s World Cup matches.

The industry has received advocacy from The Mirror through its Your Pub Needs You campaign, which advocates for support for landlords and their communities. The Treasury’s intervention follows industry backlash and concerns over impending tax increases, which could lead to a wave of closures in the pub sector. The upcoming changes in business rates and the phasing out of Covid-era discounts, announced in the Budget last November, are contributing to the economic challenges faced by pubs.