Industrial and Provident Societies and Village Pubs: Exploring Community Cohesion in Rural Britain

Abstract

In the UK, pubs are often the nodes and centres of the local social network. Particularly in villages and rural areas, pubs play an important role in stimulating community cohesion and social capital by enhancing socioeconomic activities, such as communal initiatives and business activities, within communities. Despite this, there has been a constant decline in the number of British pubs during the past decades. The factors influencing this decline are many and diverse: the rise of pub chains and theme pubs which target a more commercial type of custom, the result of progressively tougher drink–driving laws, rising prices and alcohol duties, the increased popularity of home entertainment, and the smoking ban. Since village pubs work as a network tier for the entire area, their disappearance often means the disappearance of major centres of social aggregation. This also has a significant impact on rural economies, given the importance of these businesses for local supply chains. The creation of Industrial and Provident Societies (I&PSs) in villages and small communities may represent a valid way to rescue a number of village pubs from closure. An I&PS is an organisation carrying on an industry, business, or trade, either as a cooperative or for the benefit of the community. This paper discusses the functioning of I&PSs and their potential with regard to pubs in rural areas by presenting original data obtained from primary research, including interviews held with owners, managers, and customers of village pubs. In addition, the paper provides case studies of communities who used an I&PS to save their local pubs and assets, and explores how this solution may help villagers to keep their centres of social aggregation economically viable and sustainable. It is concluded that I&PSs can represent a valuable solution for many rural communities. It is also concluded that the level of community cohesion among villagers, the investment required for setting up the I&PS, and the availability of financial grants and public sector support all have an important impact on their development.

The Ownership of Assets by Place-Based Community Organisations: Political Rationales, Geographies of Social Impact and Future Research Agendas

“…This has identified how increases in participation and engagement in volunteering are often linked to feelings of increased community pride, identity and strengthening of local democratic decision-making over the use of assets (Cabras, 2011;). Satsangi's work on community land ownership in Scotland has highlighted how the collective ownership of land, housing and amenities led not just to the improvement of the physical environment and local provision, but created a 'pluralistic structure that allows for full member participation in decision-making' (Satsangi, 2007: 43) which allowed local people to control and direct their local area.…”

Community Pubs

“…The ability to aggregate and mobilize local resources for local benefi t is one of the purported key benefi ts of Industrial and Provident Societies (Zeuli & Radel, 2005;Cabras, 2011). In this light, the raising of local funds in order to reopen a valuable local service in Marpinwald could be seen to be the most prominent achievement of MCH.…”

“…Societies are able to facilitate social cohesion as members identify with the mission of the society and work together to overcome problems -something which is suggested to be particularly true for small, rural Industrial and Provident Societies (see : Zeuli et al, 2004;Cabras, 2011). The reopening of the pub has also had an economic impact.…”

“…However, there are currently only around eighteen pubs under community ownership in the UK, with a corresponding lack of research in the area (although see : Cabras, 2011). Hence, in a context where community ownership is seen as a solution to pub closure, it seems important to understand models of community ownership and management, the impact of community run pubs, the factors which can contribute to organizational success, and some of the issues that community pubs may face.…”

“…However, unlike a private sector enterprise, IPSCBs are run for the benefi t of a community, with the community's interests placed above the members of the organization and its shareholders. IPSCB's are able to pay interest on shareholder capital, but are unable to use any profi ts to pay shareholders a dividend (Cabras, 2011). Instead, any surplus profi t has to be reinvested into the community.…”