The Scottish pubs reopening and revamping near you as Heineken invests £4.5 million

Beer giant Heineken is to invest £4.5 million in its Scottish pubs business as part of a £40m UK commitment that is expected to create as many as 1,000 jobs.

Amid a challenging backdrop for the sector amid soaring costs, higher taxes and ongoing cost-of-living pressures, the firm has spent some £1.3m reopening four long-term closed Scottish pubs in the last six months - The Howard Arms, Kilmarnock; The New Rhindsdale Tavern at Baillieston; The Scoonie Tavern in Leven and The Station Inn at Braidwood.

A further £4.5m is being earmarked for pubs north of the Border under the investment in the Star Pubs division, which will result in an estimated 150 new jobs.

Rick Houston at The Howard Arms in Kilmarnock. Picture: Mark F Gibson / Gibson Digital

The group said 28 pubs have been identified for improvements, with 20 of these in line for “transformational works” costing on average £212,000, subject to recruiting new operators. One of these is Van Winkle on Sandyford Place in Glasgow where a £275,000 revamp is under way to turn it into Gael & Grain, a pub “celebrating Scottish food, drink and music”.

Lawson Mountstevens, managing director of Star Pubs, part of Heineken UK, said: “We’ve invested over £1.28m in reopening four long-term closed pubs in Scotland in the last six months alone and they’ve all had a terrific response from local residents.

“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. 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. Investing in them keeps alive the tradition of individual locals, each with its own unique feel and serving the particular needs of its community.”

The exterior of The Howard Arms in Kilmarnock, which has been reopened by Star Pubs. Picture: Mark F Gibson / Gibson Digital

He added: “Star Pubs’ licensees in Scotland employ some 2,500 people, support many Scottish suppliers and raise thousands of pounds for local charities and good causes every year. Pubs are the lifeblood of their communities and growth engines for the UK economy, however they are being penalised by a disproportionate tax burden, which we hope will be addressed.”

The Howard Arms in Kilmarnock reopened in November after a five-year closure thanks to a £395,000 joint refurbishment by Star Pubs and new licensee Rick Houston, who also runs The Cartvale at Busby.

He said: “The Howard Arms is an iconic Kilmarnock pub. There’s a lot of love for it in the town and it had been much missed. We’ve had a fantastic response to the reopening.

“Having been closed for five years, the pub needed a complete relaunch to get it back on its feet. A big investment was essential - a lick of paint wouldn’t have cut it.”

News of the investment comes as Heineken UK formally opens its new headquarters on St Andrew Square in Edinburgh ahead of the expiry of the lease on its previous premises at South Gyle. The firm, which employs more than 500 people in Scotland, has invested £2m in remodelling the St Andrew Square offices.