The move means that a wrecking plan by the Government, to severely restrict when pub owners tied into unfair contracts with big pubcos can access the so-called ‘market rent only’ option and buy their own beer, will now not go ahead.

Pub champion Liberal Democrat MP Greg Mulholland has long fought for the Market Rent Only (MRO) option, said that the u-turn was a major victory against a Government which has consistently refused to support landlords to get a fair deal.

The u-turn comes after Mr Mulholland submitted a Freedom of Information request to investigate the Government’s plans which would only allow an MRO if the pubco increase the rent at the end of the year.

Mr Mulholland said:

“This is a massive climbdown for the Government over this deeply flawed plan which totally undermined attempts to ensure local pubs get a fair deal.

“The Government has protected the large vested interest of the pubcos every step of the way and this climbdown shows they are only now listening to local people who want success for British pubs”.