Pub Giants Weigh Massive Sell-Off Amid Debt Woes and Pandemic Pressures

As of November 17th, 2025, the UK's major pub chains, including Be At One, Yates, and Slug and Lettuce, are facing significant financial challenges. The Stonegate Group, the country's largest pub landlord, is now weighing options to sell off around 1,000 of its 4,500 venues, worth an estimated £1 billion.

The company, owned by private equity firm TDR Capital, had previously considered selling 1,000 pubs in 2023, but those plans were put on hold. Now, with the pandemic's impact and rising costs, Stonegate is once again exploring the possibility of offloading a significant portion of its portfolio.

The hospitality industry as a whole is grappling with a 'perfect storm' of pressures, including high inflation, soaring energy bills, and increases to the National Insurance contributions that employers must pay. These factors, combined with the lingering effects of COVID-19 lockdowns, have led to hundreds of pubs and nightclubs being forced to close their doors in recent years.

Despite the challenges, many of Stonegate's venues, such as Slug and Lettuce pubs, remain popular, especially on weekends, with offerings like '2-4-1' cocktail deals and 'bottomless brunches.' However, the company's £3 billion debt burden, accumulated during the pandemic, has become a significant burden, prompting the potential sell-off.

Stonegate has stated that any potential sales would not result in the closure of the pubs themselves, but rather a change in ownership. The company is exploring options that could include a refinancing, partial sale, or full sale of the so-called 'platinum' properties within its portfolio.