Warning from Vaux against interference
Thursday 09 February 1995
Calling the surprise investigation by the Office of Fair Trading into wholesale beer prices a "total over-reaction", Sir Paul said the announcement on Tuesday had already caused enormous damage - with Vaux, his own company, losing £40m in value. On the stock market Vaux shares have slipped 12p to 216p since the OFT investigation was announced.
Share prices of most regional brewers fell yesterday as a belief grew among investors that the effects of the price inquiry could spread well beyond the big five companies at which it was originally thought to be aimed.
Sir Paul said the reaction of association members at a council meeting yesterday was, "Oh Lord, not again - this is the 33rd inquiry since 1966."
There was also a sense of frustration because "what the customer puts on the bar for a pint gives the best value in Europe". The more the Government interfered with the market the greater the disbenefit to the customer, he said.
Sir Paul attacked the purist view that vertical integration in the industry was wrong and described the idea that brewers could be prevented from owning the properties through which they supplied beer as a simplistic solution that would be to the detriment of customers.
Forms of tied-house agreements were as widespread in many countries of the EU, particularly Germany, as in Britain.
- 3 Daily Show's Jon Stewart destroys Fox News for its Ferguson coverage
- 5 Terror threat level raised to severe as PM warns Isis risk could last for decades
Keira Knightley topless: Usually conservative actress does own take on #Freethenipple campaign for Interview Magazine
YouTube video posted by Isis militants shows 'execution of 250 Syrian soldiers'
Botched ice bucket challenge leaves man critically injured after plane drops hundreds of gallons of water
Terror threat level raised to severe as PM warns Isis risk could last for decades
Isis 'A Message in Blood' video shows beheading of Kurdish man in Iraq
Robin Williams Emmys tribute led by Billy Crystal criticised for including 'racist' joke about Muslim woman
The Rotherham child abuse scandal is a tale of apologists, misogyny and double standards
Scottish independence TV debate: Pumped-up Alex Salmond bounces back in bruising second round against Alistair Darling
Do you realise just how foolish the UK looks?
Ukip Douglas Carswell defection: Tory MP jumps ship to join Nigel Farage
When elitism grips the top of British society to this extent, there is only one answer: abolish private schools
- < Previous
- Next >
iJobs Money & Business
£50000 - £80000 per annum + benefits+bonus+package: Harrington Starr: Data Sci...
£450 - £500 per day: Orgtel: SAS Business Analyst, London, Banking, Credit Ris...
£32000 - £38000 Per Annum Bonus, Life Insurance + Other Benefits: Clearwater P...
£200 - £250 per day + competitive: Orgtel: KYC Analyst, Key Banking Client, Bi...