The Office of Fair Trading is due to receive complaints from a number of pub chains who are angered at Sky’s decision to raise TV subscription prices by up to 22%. Pubs who show sports events or MTV on their TVs have to buy a special kind of subscription – and that subscription rate has been hiked up meaning some pubs will have to pay more than £1000 a year.
One chain – the Punch Pub Company – told reporters yesterday: "We find it appalling. Sky's popularity was created by the pubs market and yet now it is creating a stranglehold on the sector."
But Sky responded by saying: "Sky invests a huge amount in its programming and it is extremely good value. And there are many other forms of entertainment that pubs can offer."
Not that we ever want to be seen to be defending Sky, but following yesterday’s news that the Musicians Union are worried live pub music will go in decline because of new licensing legislation, perhaps Sky’s latest price rises are a good thing. Pub chain Scottish & Newcastle, while trying to criticise Sky’s move, told reporters: "These new price rises mean that it can be more economically viable to provide live entertainment rather than show a match."