Great Chesterford: Soaring energy bills force village pub to close

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Simon Cleary at the Plough at Great ChesterfordImage source, Kate Bradbrook/BBC
Image caption,

Simon Cleary said running the pub was enjoyable before the pandemic hit

A pub manager is planning to close his business at the end of April because of soaring energy bills.

Simon Cleary, who runs The Plough at Great Chesterford, near Saffron Walden in Essex, says his January gas bill has increased year-on-year from £438 to £2,370.

An average 32 pubs closed every month in England and Wales last year.

"Initially we were very upset, but honestly, that's more turned into relief now," said Mr Cleary.

"It's just got to a point where it's become unprofitable and also we can't work for nothing, so with sadness and regret, we've decided we need to go do something else."

Image source, Shaun Whitmore/BBC
Image caption,

The pub retailer Greene King owns the building in Great Chesterford

Image source, Shaun Whitmore/BBC
Image caption,

The pub was charged more than £1,000 for two weeks' of gas usage alone in January

Mr Cleary, who has managed the pub for more than five years and occasionally worked as a chef in the kitchen, said he was repaying a £25,000 Covid-19 bounce back loan from government, external.

The Treasury is due to begin scaling back in April on the energy bill support it provides to firms.

The Energy Bill Relief Scheme, external offered £18bn worth of discounts to businesses between October and 31 March, but the new £5.5bn Energy Bills Discount Scheme, external, which is due to kick in on 1 April, has reduced the number of firms qualifying for help.

Chancellor Jeremy Hunt has asked the energy regulator, Ofgem, whether extra help for businesses is needed ahead of unveiling his budget on 15 March.

"What they come up with may help small businesses going forward to the end of this year but I think, for us, it's time," said Mr Cleary.

The government pointed out it will continue to offer a 50% business rate relief and a freeze on alcohol duty rates.

A spokeswoman at the Department for Business, Energy and Industrial Strategy (DBEIS) said: "While no national government can control the global factors pushing up the price of energy and other business costs, we will always be on the side of businesses, including pub owners."

Greene King, the retailer that owns The Plough, has been asked whether there are plans for the pub's future.

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