STAR Pubs & Bars has announced a new energy supply deal for its lessees to help them cope with rising energy prices.
The deal will see Star bulk buy energy from British Gas at times when the market is at its lowest, with licensees signing up to a one-year agreement to purchase their energy through the pubco. They will have the ability to renegotiate their contracts in autumn of 2023, when prices are expected to fall.
The scheme will see participating licensees provided with smart meters and have access to an online portal where they can track their energy use.
“Energy is a pub’s second biggest cost after wages, so the current energy issues are a major challenge for the trade,” said Mark MacDonald, head of pub services at Star Pubs & Bars.
“The energy market is complex, and people need expertise to navigate the terms and conditions of the different agreements. Some of the four and five-year contracts available look attractive now but could prove very expensive when the market corrects.
“Our aim is to simplify the process of securing a good energy deal for our licensees by creating a transparent agreement built around their best interests. All of our 140 managed-operator Just Add Talent pubs will be on it. By using our managed pubs’ buying power, we’re able to offer great rates and terms to our leased and tenanted licensees, too.”