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| Pub shares slide after Commons vote | Pub shares slide after Commons vote |
| (35 minutes later) | |
| Shares in companies that own pubs have fallen sharply after MPs voted for an amendment allowing landlords to buy their beer on the open market. | |
| Enterprise Inns' shares fell 12.6%, Punch Taverns lost 8.5% and Mitchells & Butlers shed 2.5%. | Enterprise Inns' shares fell 12.6%, Punch Taverns lost 8.5% and Mitchells & Butlers shed 2.5%. |
| Shares in Spirit Pub Company, which is being taken over by Greene King, were down 8.6% in morning trading in London. | Shares in Spirit Pub Company, which is being taken over by Greene King, were down 8.6% in morning trading in London. |
| The government was defeated in last night's vote, which also allows landlords a rent review. | The government was defeated in last night's vote, which also allows landlords a rent review. |
| The 284 to 259 vote was believed to be the government's first defeat on one of its own bills since the 2010 election. | The 284 to 259 vote was believed to be the government's first defeat on one of its own bills since the 2010 election. |
| A government review into improving protection for "tied" pubs, which are required to buy their supplies from their owners at often high prices, had rejected the "market rent only" option. | A government review into improving protection for "tied" pubs, which are required to buy their supplies from their owners at often high prices, had rejected the "market rent only" option. |
| Simon Townsend, chief executive of Enterprise Inns, said that option would lead to widespread pub closures and job losses, according to independent research commissioned by the government. | Simon Townsend, chief executive of Enterprise Inns, said that option would lead to widespread pub closures and job losses, according to independent research commissioned by the government. |
| "This amendment is a disproportionate response which proposes fundamental change that is wholly contrary to the findings of the consultation, from which the Bill was drawn up," he said. "We continue to believe the tie offers the best operating model for the vast majority of our publicans." | "This amendment is a disproportionate response which proposes fundamental change that is wholly contrary to the findings of the consultation, from which the Bill was drawn up," he said. "We continue to believe the tie offers the best operating model for the vast majority of our publicans." |
| The Federation of Small Businesses said it was "a historic day for tied publicans" and would lead to a more open and competitive marketplace. | The Federation of Small Businesses said it was "a historic day for tied publicans" and would lead to a more open and competitive marketplace. |
| However, the British Beer and Pub Association said the outcome was "hugely damaging". | However, the British Beer and Pub Association said the outcome was "hugely damaging". |
| Chief executive Brigid Simmonds said: "This change effectively breaks the 'beer tie', which has served Britain's unique pub industry well for nearly 400 years." | Chief executive Brigid Simmonds said: "This change effectively breaks the 'beer tie', which has served Britain's unique pub industry well for nearly 400 years." |