Inside the PCA’s review into pub company BDM notes for prospective tenants

Background - requirement to provide notes of discussions 

Regulation 41(4) of the Pubs Code requires a pub company to ensure that its Business Development Manager (BDM) provides a tied pub tenant with a written record of discussions about: 

• Repairs to the pub; 
• Rent proposals or rent assessments (or assessments of money payable in lieu of rent); and 
• Matters relating to the tenant’s current or future business plans. 

The written notes must be provided within 14 days of the meeting and must ask the tenant to respond within 7 days if they disagree with any aspect of the record. 

The duty applies to both existing and prospective tied pub tenants, meaning the protection extends to the onboarding stage, before any agreement is signed. It is at this stage that deals may be made between the pub company and the new tenant – about discounts, rent concessions, repairs and other aspects of the business. The duty on pub companies to share meeting notes ensures a paper trail of such agreements to reduce the risk of disputes. Documenting early discussions helps ensure both parties share a clear understanding of their legal, financial and operational obligations as negotiations progress.  

PCA information gathering and findings 

In October 2025, the PCA sought information from all six pub companies - Admiral, Greene King, Marston’s, Punch Pubs, Star Pubs and Stonegate - about their arrangements for complying with regulation 41(4) in relation to prospective tenants. Their responses highlighted inconsistencies with a range of approaches to recording discussions during recruitment and negotiation.  

Only Admiral could demonstrate that it had consistently had processes in place to ensure it met the requirement. The PCA subsequently met with the remaining five pub companies in January 2026 to understand their approaches. Stonegate had recently introduced a new digital onboarding system designed to meet the requirement, and discussions focussed on their arrangements prior to that. The PCA considered:  

• The nature of discussions that take place during recruitment, at key stages such as property viewings, and how these are captured; 
• How pub companies identify which discussions must be recorded in writing and shared with the prospective tenant, and how they ensure this is done within 14 days; and 
• The capability of Code Compliance Officers (CCOs) to verify compliance.  

The meetings highlighted several areas where practices amongst pub companies varied, and in some cases did not consistently align with the requirements of regulation 41(4):  

• 7-day challenge notification 

  Some pub companies used documents such as interview checklists, Heads of Terms and business planning meeting notes to record discussions for the purposes of regulation 41(4), but these documents did not consistently notify prospective tenants of their statutory right to challenge the notes within 7 days. 

• Requirement that notes are provided within 14 days 

  Pub companies described a range of processes intended to support compliance with the 14-day requirement, but were largely reliant on training given to BDMs, who were expected to self-manage their own compliance. Unlike with existing tenants, CCOs did not consistently have the means to verify that notes had been issued within the required time frame to prospective tenants.  

• Documentation of property viewing discussions 

  Approaches to documenting discussions during property viewings varied across pub companies. In several cases, BDMs were expected to confirm discussions to prospective tenants by email, but CCOs were not consistently able to audit whether these were being sent. 

• System limitations 

  Some pub companies noted that their IT systems are designed primarily for managing interactions with existing tenants, which can create gaps in how discussions with prospective tenants are recorded. Where these systems could not be used to audit compliance, CCOs were made aware of issues only when raised by a BDM or prospective tenant.  

Following these discussions, the PCA asked each pub company to write setting out the short-term changes they would make to improve compliance with regulation 41(4) alongside any longer-term system or process developments. 

The PCA is reviewing the responses received and will assess whether the proposed actions are sufficient to ensure prospective tenants receive consistent protection under the Pubs Code and that pub companies have robust processes in place to verify compliance. 

The PCA is interested to hear from any current or former tenants and prospective tenants who may have been impacted by these issues while in negotiations for a tied pub. Affected tenants should contact their CCO, and can copy the PCA into any communications. The PCA can be contacted on [email protected].