Our response to Covid-19

Between March 2020 and July 2021, UK pubs were either closed entirely or operating under severe and ever-tightening restrictions due to spread of Covid-19.

This had a devastating impact on all hospitality businesses and with 2,700 pubs spread through England, Scotland and Wales, Greene King faced a fight to survive as a business.

Pubs may now be back open again but there are still uncertain times ahead as businesses are rebuilt and the pub is restored to its vital role at the heart of the community.

Navigating the crisis has been tough and we know there is still a long way to go. Pubs have been at the forefront of government restrictions and closures and many pubs found previously secure futures now under threat.

Since the day pubs were closed in March 2020, our chief executive set out three objectives to our 40,000 employees and 1,000 tenants, which we have followed throughout the pandemic:

Ensure the financial stability of our business
Position us to exit this crisis as the strongest in the sector and be ready to bounce-back
And as far as possible protect our employees and leased and tenanted partners from the worst impact of the crisis.

These three objectives have underpinned all our decision making over a turbulent period. Below is further information looking back at steps we took to look out for our teams, partners and communities.

Our teams

As an employer of 40,000 people Greene King has taken its responsibilities extremely seriously as we aim to look after as many of our teams as possible.

From 6 April 2020, we were able to furlough 99% of our employees via the government’s Job Retention Scheme on 80% of pay. The government capped the monthly furlough payments at £2,500, so we topped-up the furlough payments for those who this would affect to ensure that every furloughed Greene King employee was receiving 80% of their pay while furloughed.

The same numbers of people needed to be furloughed again during the November 2020 lockdown and then from January 2021 when the UK entered its third national lockdown.

During both of the two major lockdowns, we set up a team member support fund to support our team members who were in the greatest financial need. The first fund of £650,000 was then followed up by a second fund in January 2021. We partnered with the Licensed Trade Charity who administered these funds on our behalf. They were partly paid for by salary sacrifices from our executive board and senior leaders in the business who took pay cuts to contribute to the fund.

As well as financial support for our teams, people’s wellbeing while they’ve been away from colleagues has been a top priority and we have trained over 50 mental health first aiders since the outbreak of the pandemic and keep in regular contact with employees with wellbeing guidance on our in-house social media.

In January 2021 we also held our first ever virtual Pride of Greene King awards that saw thousands of our team members get involved online to celebrate those individuals and teams who had shone through during the most difficult of years.

Throughout lockdown, our chief executive recorded weekly video updates for teams and there were frequent live video conferences to stay up to date with the very latest information on Greene King so our teams were the first to hear of any changes.

In May 2021 we held our first ever virtual talent show for Greene King employees as we celebrated the hidden talents of our pub and brewery teams. The awards were the culmination of a three-months-long project to keep people who were furloughed engaged and ready to reopen pubs across the UK from 17 May.

Our partners

We have around 1,000 tied pub tenants throughout England, Scotland and Wales who saw their businesses devastated by Covid-19.

From the outset we sought to offer as much support as possible with rent discounts of up to 90% to help them survive.

Greene King has invested tens of millions of pounds in supporting its tenants, primarily through rent concessions but also through credits on beer purchased from Greene King, purchasing PPE (personal protective equipment) for each pub and replacing unopened beer that went out of date during lockdowns with fresh stock on reopening.

Initially, we launched a partner support fund that aimed to target support for those pubs most in need as there was a disparity between pubs that had received a £25,000 grant from the government to pay fixed costs like rent and others which received nothing.

By the middle of June 2020, however, with no pubs yet able to reopen any grants received would have been used and so Greene King switched to an automatic 90% rent concession for all its tied tenants, which continued for four weeks after they were able to reopen in July.

Rent concessions continued at varying levels depending on trading but did not return to normal levels until pubs reopened fully without restrictions in July 2021. When various lockdowns were introduced at different times across England, Scotland and Wales rent concessions returned to 90% and these continued during the winter when severe restrictions were in place that either kept pubs closed or closed in all but name. Greene King continued to discount tenants’ rent by 90% even when pubs were able to open outdoors in the spring of 2021.

In March 2021, Greene King’s Pub Partners division won the Best Leased & Tenanted pub company award at the Publican Awards, with it praised by judges for looking after tied pub tenants during the Covid-19 pandemic, which judges said was especially impressive ‘given the size and scale of the task’.

Our communities

After pubs closed in March 2020, we donated more than £250,000 of food to Fareshare, the Felix Project, Bread & Butter charity and Emmaus, as well as local foodbanks and the NHS.

When pubs were forced to close again in England in November 2020 pubs again gave food away for free to local good causes to make sure the least amount of food went to waste as possible.

At the start of the January 2021 lockdown Greene King signed up to The Sun newspaper’s Jabs Army campaign to help furloughed team members volunteer as stewards at vaccination centres.

Since 2012 we have worked closely with Macmillan Cancer Support as our charity partner. With the usual Macmillan May fundraiser unable to take place in 2020 and 2021 we instead moved it to September and October and our team members smashed all previous records by raising a staggering £1m for the charity during this period in 2020 and a similar amount in 2021.

During the first lockdown, a number of our team members used their time while furloughed to volunteer as telephone buddies for the charity. The aim of the initiative was to alleviate loneliness and social isolation during the Covid-19 pandemic, with our team members receiving training from the charity before being matched to one or two people living with cancer so they could speak to them once a week and help deliver 12 weeks of emotional support.

Prior to pubs being closed we had been able to purchase a significant amount of hand sanitiser to distribute to all our pubs for team members and customers to use. However, with the closure of pubs we wanted this to be put to immediate use and so donated 3,000 litres to the Leonard Cheshire disability charity.

We launched our virtual pub, The Lock Inn, to help fight loneliness, encourage interaction and provide some entertainment during the lockdown. The pub, which was hosted on the GK Brewery Facebook Page, featured weekly entertainment with a pub quiz every Wednesday and Rock n Roll Bingo every Friday. It was all free, with customers only asked to make a donation to our charity partner Macmillan Cancer Support if they were entertained.

Across our pubs, our team members supported their communities locally, whether by making PPE at home, looking after vulnerable customers, donating additional food or supporting the NHS.

As part of our longstanding relationship with the Prince’s Trust, we donated £20,000 to its Young Persons’ Relief Fund to support young people facing uncertainty in work and careers right now.

In the third national lockdown when schools had to close, we reached out to the Unity Schools Partnership and donated 110 laptops to help support families in Suffolk with home schooling.

Our brewery

During the lockdowns, the only part of Greene King that remained operating to a reasonable level was our brewery in Bury St Edmunds, which continued to brew beer for our online beer shop, supermarkets and other off-licences.

However, we were brewing on a greatly reduced schedule as the demand only made up a small proportion of our usual supply to thousands of pubs, social clubs, sports grounds and venues across the country.

Following each lockdown there was also a mammoth logistical challenge to collect thousands of unopened, full casks of beer from pubs so they could be brought back and the liquid inside destroyed in a more environmentally friendly manner than pouring down the drain.

We also supported our free trade customers and Pub Partners tenants with replacing out-of-date and unopened casks and kegs with replacement containers when they were able to reopen in July.

Pub Safe

Ahead of pubs reopening in July 2020 we launched Pub Safe – a new set of five promises to our teams and customers to make sure when our 1,700 managed pubs reopened it was in as safe a manner as possible:

Safe socialising layout throughout our pubs
Looking after our team, so they can look after our customers
Minimise contact
Hand sanitising and hygiene
Pub Safe Monitor

The measures were extremely well received by our teams and customers. Shortly afterwards we undertook a survey of 25,000 customers which showed that 86% of customers felt their pub still retained the atmosphere they hoped for despite the additional safety measures in place and 98% said they would be comfortable returning again in future.

Once pubs were able to reopen without restrictions in July 2021, we were able to see a return of the Great British pub atmosphere, with customers able to order at the bar and stand up in the pub once more. While we loosened restrictions such as social distancing, we continued to follow government guidance and kept our Pub Safe promises so customers felt confident visiting us as restrictions were lifted.

Timeline

16^th March 2020	Prime Minister tells people not to visit pubs.
17^th March	Greene King confirms to its tied tenants that all rent payments are deferred during the current crisis to free up cash flow for tenants.
20^th March	Prime Minister orders pubs to close.
20^th March	Greene King guarantees it will continue full pay for all employees until 5^th April.
23^rd March	Prime Minister announces a UK-wide lockdown.
25^th March	Greene King confirms to its pub tenants that all unopened kegs and casks that are out of date when pubs reopen will be replaced for free at a cost of over £1m.
25^thMarch	The Greene King brewery commits to its free trade customers that it will replace all kegs and casks delivered that go out of date before reopening, replacing those un-broached with fresh stock at no cost to customers.
1^st April	Greene King Pub Partners teams up with StarStock, a new initiative to allow pubs to operate as click-and-collect community shops during lockdown.
6^th April	99% of Greene King’s 38,000 employees are furloughed apart from a core team to keep the business running while pubs were closed and income was all but zero.
16^th April	Greene King donates 3,000 litres of hand sanitiser gel, purchased before lockdown for its pubs, to leading disability charity Leonard Cheshire.
17^th April	Greene King Pub Partners launches a Partner Support Fund to provide millions of pounds of rent concessions to pub tenants who have not been eligible for any financial support from the government.
22^nd April	Greene King launches the Lock Inn, a virtual pub offering weekly quizzes, bingo and entertainment acts to promote online socialising in the community and raise money for Macmillan Cancer Support.
27^th April	Greene King Pub Partners pays for every single one of its 1,000 pub tenants to become members of the British Institute of Innkeeping (BII) an independent body that provides expert advice on everything from legal and licensing issues to tax queries.
6^th May	Greene King launches a £300,000 Team Member Support Fund to help its employees most in need during the current crisis, it is later increased to £500,000.
11^th May	Prime Minister confirms that pubs will not reopen in England before at least 4^th July.
21^st May	Greene King Pub Partners confirms that from 11^th June all tied tenants will receive a 90% rent concession until four weeks after they are legally allowed to reopen their pubs, bringing the estimate value of rent concessions for tied tenants to £11m.
22^nd May	Greene King launches takeaway from 29 of Metropolitan Pub Company pubs in London.
5^th June	Greene King Pub Partners confirms it will pay for each of its 1,000 tenants to receive £250 of PPE support ahead of reopening, along with £120 of Covid-19 signage.
10^th June	Greene King expands its takeaway and delivery offer to 40 pubs, mainly in the East Midlands, East Anglia and North West of the England.
12^th June	Greene King launches Pub Safe – a new set of five promises to our teams and customers to make sure when our pubs reopened it was in as safe a manner as possible.
23^rd June	Prime Minister finally confirms that pubs will definitely be allowed to reopen in England on 4^th July, although opening dates in Scotland and Wales are not confirmed as that is a matter for the devolved governments.
24^th June	Greene King’s employee-led LGBT+ network The Village Greene marks Pride by taking over the Lock Inn virtual pub, running virtual events centred around celebrating LGBT+ culture, as well as fundraising for LGBT+ charity Switchboard and UK Black Pride.
24^th June	The government guidance for hospitality confirms venues must collect the names and contact details of customers to support NHS Test & Trace.
4^th July	Pubs are legally allowed to reopen in England.
6^th July	Greene King reopens nearly 1,300 of its managed pubs all with an order and pay app and most offering takeaway. Some are also partnered with Deliveroo or JustEat to offer delivery.
15^th July	Pubs are legally allowed to reopen in Scotland.
16^th July	Greene King releases survey data from 25,000 people showing that 86% of its customers felt their pub still retained the atmosphere they hoped for despite the additional safety measures in place and 98% said they would be comfortable returning again in future.
20^th July	Greene King confirms that its pubs will be signing up for the government’s Eat Out to Help Out scheme in August, which offers 50% off food and soft drinks up to the value of £10 per person. The discount will be valid Monday to Wednesday throughout August.
3^rd August	Pubs are legally allowed to reopen in Wales.
3^rd August	The UK government’s Eat Out to Help Out scheme launches.
14^th August	The Scottish government publishes new guidance for pubs that means no music can be played in pubs and televisions should be muted.
25^th August	Greene King Pub Partners confirms that after the current round of rent concessions for its tied tenants comes to an end eight weeks after reopening, a further eight weeks of rent concessions will continue through until the end of October.
1^st September	With the annual Macmillan May fundraiser unable to take place this year, Greene King moves it to September and October, with all managed pub teams dedicating efforts towards fundraising for Macmillan Cancer Support.
14^th September	The Rule of Six is introduced that limits social gatherings to no more than six people indoors and outdoors. This is introduced across England and Scotland. In Scotland face coverings are also made compulsory in pubs when people are not sat at a table.
15^th September	Regional restrictions become more common across the UK during September, especially in the north of England.
18^th September	It becomes mandatory for pubs to take customer details to assist Test & Trace.
24^th September	Across the UK, a number of additional regulations are introduced for pubs, including: a 10pm curfew and table-service only. England also follows Scotland by introducing mandatory face coverings for customers and staff.
24^th September	The Chancellor of the Exchequer announces further financial support for businesses impacted by Covid-19.
24^th September	Greene King Pub Partners pub The Fountain in Aberfeldy is named the ‘Greene King Pub Hero’ at the Great British Pub Awards after launching a delivery service during lockdown that saw 40,000 free meals delivered to the vulnerable and isolated. The Crown in Gayton is also named the winner of the Sheltering the Community Award for converting its hotel rooms into accommodation for NHS workers during lockdown.
7^th October	Greene King announces that unfortunately due to the continued uncertainty and restrictions on pubs, including the government’s 10pm curfew, it has identified 79 pubs that will not reopen imminently, with around a third of those pubs expected to close permanently. Around 800 job roles are affected with work undertaken to redeploy team members to other pubs where possible.
8^th October	Greene King increases rent discounts for its tied tenants across the UK up until Christmas, in light of increasing Covid-19 restrictions.
8^th October	Greene King wins the Leadership of the Year award at the UK Social Mobility Awards with its support for employees during the Covid lockdown forming a significant part of the entry.
9^th October	A circuit break lockdown is introduced in Scotland. Greene King Pub Partners discounts rents by 90% for its Scottish tenants during this period.
14^th October	A new three-tier system of restrictions comes into force in England.
23^rd October	Wales begins a two-week ‘firebreak’ lockdown which sees pubs close.
30^th October	Greene King teams hit their £1m fundraising target in September and October for Macmillan Cancer Support, smashing all previous records.
31^st October	The Prime Minister announces a new national lockdown in England for four weeks from 5^th November. Greene King confirms to all its tied tenants that their rents will be discounted by 90% during this period.
2^nd November	Greene King confirms that pubs in Levels 2-4 in Scotland will receive a 90% rent concession while pubs in Levels 0-1 will receive a 40% rent concession.
5^th November	All pubs in England close for four weeks as a new lockdown begins.
5^th November	The Chancellor of the Exchequer confirms further financial support for the UK economy and confirms furlough will be extended until the end of March 2021.
24^th November	The UK government confirms restrictions will increase in the tier system in England so that pubs cannot open in Tier 3 and can only serve alcohol with a substantial meal in Tier 2.
25^th November	Greene King publishes a survey with YouGov that highlight the importance of pubs to help combat loneliness and isolation over Christmas.
26^th November	The tier areas are announced for England and 99% of England is in either Tier 2 or Tier 3. Out of approximately 2,300 Greene King pubs in England, just six are in Tier 1.
1^st December	Greene King Pub Partners confirms partners in England will continue receiving a 90% rent discount in tiers two and three.
2^nd December	The UK becomes the first country in the world to approve a coronavirus vaccine after approving the Pfizer-BioNTech vaccine.
16^th December	London moves into Tier 3 as case numbers continue to rise.
19^th December	The Prime Minister gives a press conference and announces a new Tier 4 is introduced in England. He also says that a planned relaxation of the rules allowing households to mix between 23-27 December in England can no longer go ahead.
26^th December	Further areas of the UK are placed into Tier 4.
31^st December	All of England moves to Tier 3 or 4 – requiring the closure of all pubs.
4^th January 2021	New national lockdowns begin across the UK.
5^th January	Greene King confirms the 90% rent concession for all its tied pub tenants is extended until pubs can reopen again.
6^th January	Greene King signs up to The Sun newspaper’s Jabs Army campaign to volunteer as stewards at vaccination centres.
22^nd January	Greene King donates 110 laptops to help Suffolk families with home schooling.
27^th January	Pride of Greene King awards held for the first time.
22^nd February	The Prime Minister announces his roadmap to lifting restrictions in England, which highlights that pubs can reopen outdoors from 12 April and indoors from 17 May, depending on Covid-19 case numbers.
9^th March	Greene King Pub Partners writes to all its tied tenants in England to confirm that the 90% rent concession will continue until further notice, so will apply for pubs whether they are opening their outdoor areas or not from 12 April.
11^th March	Greene King confirms plans to reopen 442 of its managed pubs outdoors in England from 12 April.
16^th March	The First Minister of Scotland confirms that pubs can reopen outdoors from 26 April and possibly indoors from that date as well albeit only until 8pm and not allowed to serve alcohol.
30^th March	Greene King confirms plans to reopen 51 of its managed pubs outdoors in Scotland from 12 April.
30^th March	Greene King wins three awards at the prestigious Publican Awards: Best Community Pub Operator for its Local Pubs division, Best Leased & Tenanted Pub Company for its Pub Partners division, and Business Leader of the Year for CEO Nick Mackenzie.
12^th April	Pubs reopen outdoors in England
26^th April	Pubs reopen outdoors in Scotland and Wales, with some limited indoor trade allowed in Scotland.
5^th May	Greene King holds a virtual talent show for team members to keep up morale and engagement with the majority of pub teams still furloughed ahead of pubs reopening indoors on 17 May as part of the government’s roadmap to lifting restrictions.
10^th May	The government confirms that the move to step three of the roadmap in England will happen as planned on 17^th May, meaning pubs can reopen indoors from that date.
11^th May	Greene King writes to pubs in England to confirm that even with indoor opening allowed, there will still be a 40% rent concession in place for tied pub tenants to offer further support as they rebuild their businesses. The same applies in Scotland except in certain areas where outdoor opening is still not permitted, due to higher Covid-19 rates, in which case Greene King’s rent support remains at 90%
17^th May	Pubs reopen indoors in England, Scotland and Wales.
11^th June	The European Football Championships begin – a major event for pubs across the UK.
14^th June	The Prime Minister announces that the planned move to Step 4 of the roadmap to lifting restrictions will be delayed until 19 July to allow further vaccination doses can be administered. This was a significant blow to pubs as it meant they would not benefit as much from fans watching the European Championships as social distancing would remain in place and capacity would be limited.
19^th July	Restrictions are lifted in England allowing customers to stand up in pubs and drink at the bar again.
9^th August	Restrictions are also lifted in Scotland and Wales to mirror England, although face coverings are still compulsory in Scottish hospitality settings when moving around.
1^st October	Proof of vaccine certification (vaccine passport) becomes required to enter certain places in Scotland such as nightclubs, although it does not apply to broader hospitality settings like pubs.
11^th October	A Covid pass is introduced in Wales for access to certain venues such as nightclubs, but like in Scotland does not apply to broader hospitality settings like pubs. Unlike in Scotland, a negative lateral flow test in the previous 48 hours will be sufficient for the Covid pass if someone has not received both doses of a Covid-19 vaccine.
27^th October	The Chancellor’s Autumn Budget and Spending Review announces a reform of alcohol duty rates to support community pubs, which comes into effect in 2023.