The 37 Lancashire pubs and bars run by Stonegate chain in £2bn debt
Concerns have been raised for the future of 37 pubs and bars across Lancashire after a debt-stricken pub chain revealed there was 'uncertainty' about its ability to continue.
Stonegate, the UK's largest pub group, is grappling with £2.3bn in debts. The company operates Slug and Lettuce and Be At One bars, alongside several smaller standalone venues.
It has yet to secure new loans to plug the hole in its finances, despite repayments being due as early as June next year. Talks with potential lenders are said to be under way.
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The company has 4,000 venues, including 37 across Lancashire and nearly a dozen in Blackpool alone. Stonegate CEO David McDowall, previously chief operating officer for Brew Dog, has said the company has seen an increase in profits and that employees 'are not at risk'.
He said pubs aren’t at risk of closure and no venues are at risk as a result of refinancing. It follows a turbulent few years for the hospitality industry following forced closures during the Covid pandemic, rising costs and faltering customer spending habits due to the cost of living crisis.
Stonegate's company accounts revealed a 'material uncertainty' that 'may cast significant doubt on the company and group's ability to continue as a going concern'. Mr McDowall said: "I am really pleased with the performance of the business in 2023, which included a sector-leading Christmas trading period.
"We have delivered a rise in revenue and a significant increase in profitability. Our all-round performance exemplifies the strength and depth of the Stonegate estate, with our outstanding Craft Union and L&T divisions continuing to lead the way.
"This is testament to the hard work of our people and partners, but also to the success of our on-going initiatives to increase profitability across our portfolio of brands and venue formats. Our performance gives me real confidence in the future and excitement in seeing our strategy come to fruition.
"Notably our asset optimisation plan which makes sure we have the right pub in the right location, further profit improvement initiatives, and above all our efforts to continue to support the Great British pub. With a summer of sport on the horizon, and the Euro’s and T20 World Cup fast approaching, we are looking forward to building on this momentum in the months ahead.
"We have been very clear that we continue to work towards achieving our long-term balance sheet goals, with the successful refinancing of a portion of our estate in December marking a significant strategic step towards this. We would also like to assure our valued employees and partners that venues are not at risk as a result of this process."
Full list of Stonegate-owned pubs and bars in Lancashire
Kings Arms, High Street, Garstang
The Stork Hotel, Corricks Lane, Lancaster
The White Hart, Watling Street Road, Preston
The Pendle Witch, Penny Street, Lancaster
The Penny Bank, Penny Street, Lancaster
Bull Hotel, Blackpool Old Road, Poulton-le-Fylde
The Crafty Scholar, Church Street, Lancaster
The Adelphi, Fylde Street, Preston
New Britannia, Healey Street, Preston
Popworld Preston, Church Street, Preston
Slug & Lettuce Preston, Church Street, Preston
The Dickens, Princess Road, Thornton-Cleveleys
Chieftain Hotel, Pedder Street, Morecambe
Kings Arms, Marine Road, Morecambe
Saddle Inn, Whitegate Drive, Blackpool
Beam & Brycg, Station Road, Bamber Bridge
Slug & Lettuce Blackpool, Queen Street, Blackpool
Station, Talbot Road, Blackpool
Walkabout Blackpool, Queen Street, Blackpool
Popworld Blackpool, Promenade, Blackpool
Yates Blackpool, Market Street, Blackpool
Castle Hotel Blackpool, Central Drive, Blackpool
Reflex Blackpool, Promenade, Blackpool
The Manchester, Promenade, Blackpool
The Bull Hotel, Waterloo Road, Blackpool
The Dutton Arms, Promenade, Blackpool
Wilpshire Hotel, Whalley Road, Blackburn
The Fairhaven, Marine Drive, St Annes
The Seven Stars, Leyland Lane, Leyland
Dog & Partridge, Wellgate, Clitheroe
Swan Hotel, King Street, Clitheroe
The Brown Cow, Livesey Branch Road, Feniscowles
Bay Horse, Wigan Road, Chorley
The Roebuck, High Street, Blackburn
The Prince of Wales, New Market Street, Chorley
The Bridgewater, Darwen
The Snooty Fox, Main Street, Kirkby Lonsdale