Heineken announces 2025 investment of £40m
Star Pubs will receive £40m of investment from owner Heineken this year.
Heineken UK has announced it will invest £40m in upgrading and reopening pubs in its Star Pubs division in 2025.
In a move that the brewer and pub operator says will create nearly 1,000 new jobs across the country, 25% (608) of its 2,400 pubs will benefit from enhancements during the year, with 104 of these earmarked for transformational revamps costing over £120,000.
Having spent £9.5m in 2024 reopening 62 long-term closed pubs, the company says it now has the lowest level of closures since 2019. It has spent £194m on improving its pubs between the start of 2020 and the end of 2024.
"Consistent investment – rather than a stop, start approach – and a strategy of creating great locals have been key to helping our pubs weather the storms of the last few years," says Lawson Mountstevens, Star Pubs’ managing director. "Heineken sees firsthand the value in great British pubs and their ongoing popularity. It recognises that Brits love their locals and that well-invested pubs trade better. This £40m inward investment from a Dutch business into UK pubs is a resounding vote of confidence in the future of the sector."
Community locals
Up to 97% of Heineken UK’s pubs are in rural and suburban locations and its 2025 investment programme will reflect this, concentrating on community locals.
Refurbishments will make over pubs with new interiors designed to entice pub goers and cater for a wide range of customers and occasions. A comprehensive package of energy efficiency measures will be included to increase each pub’s sustainability.
"Even with pressures on disposable income, people are still prioritising a trip to their local, valuing it as an everyday treat and as a way of connecting with their community," adds Mountstevens. "But they want to be guaranteed a quality experience: relaxing in an attractive setting is an important factor when pubgoers choose where to spend their money.
"The vast majority of our pubs are leased by independent operators who run them as their own. In partnership with our licensees, our investment programme keeps alive the great British tradition of individual locals, each with its own unique feel and serving the particular needs of its community.
"Star Pubs licensees employ some 25,000 people, support thousands of local suppliers and raise millions for charity. Pubs are the lifeblood of their communities and growth engines for the UK economy, however, they are being penalised by a disproportionate tax burden. We urge the government to rectify this distortion when proposals to overhaul business rates are drawn up this year."
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