Tuesday, June 01, 2010

BII: rise in pubco benchmarking bookings

Richard. These codes of practice SHOULD be condemned outright. They are a diversion and a waste of time. The Pub Industry Establishment doesn't like what has been happening to their Fiefdom recently. The Establishment is the pubcos followed by lap dog brewers, many of whom have slavishly followed pubcos into very dodgy areas of highly lucrative but unsustainable business practice. The Establishment has waited for the outcome of the election and has now launched its counter offensive against the losses it's conceded to rational attack of its business model in the last two years.

Codes are a sham. Everyone knows this, but not everyone is prepared to talk about it in the open because their livelihoods depend on the status quo of the industry remaining. Codes are window dressing designed to show off threadbare emperor's new clothes in a flattering new light - no more no less. All words no change; there's no legal requirement to stick to the codes, there's no effective sanction when they are broken, there's no need for the codes other than to make the supply tie, a completely discredited business practice which should have gone out with the Edwardians, appear acceptable in the 21st century.

BII backs new codes because it cannot do otherwise: it is a part of the Establishment. Watch out for the forthcoming stitch up of RICS methods of valuation coming on the not too distant horizon.

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