A round-up of the weekend's news affecting the hospitality industry...
Bella Italia and Café Rouge sale speculation
Restaurant chains Bella Italia and Café Rouge could be put up for sale for more than £120m following the appointment of advisor Hawkpoint to study options for the group. The chains have a total of 156 sites across the country and are part of Tragus, one of Britain’s largest independent restaurant groups. – Sunday Times, 29 August
Scottish smoking ban edges nearer
Jack McConnell, Scotland’s First Minister, said yesterday that a ban on smoking in indoor public places was a “serious option” for Scotland. McConnell is due to visit Ireland, where a workplace smoking ban was implemented five months ago, to see the effects of the ban on the local economy, particularly the pub trade, and the possible problems of enforcing such a ban. – The Times, 30 August
Scottish pubs may get compensation for smoking ban
Ministers are considering paying compensation to pubs, clubs and restaurants if they introduce a smoking ban in Scotland. The Scottish Executive is currently examining a scheme which would pay out if licensed premises could demonstrate they had lost business as a direct result of the ban. Some form of smoking ban now appears inevitable in Scotland. – The Scotsman, 30 August
Another bidder goes after Wentworth
Sean Quinn, the Irish cement-to-insurance tycoon, has made a €130m (£87.5m) bid for Wentworth Club in Surrey. Quinn is up against two competing bids for Wentworth. If successful, Quinn is not expected to make any significant changes at the club, although one source said a hotel would be an obvious addition to a facility which has only a limited ability to accommodate guests. – Sunday Times (Irish edition), 29 August
Wetherspoon may issue another warning on profits
Summer weather and the heavy discounting of beer by supermarkets have raised fears that JD Wetherspoon will emerge with a further downbeat trading statement when it reports full-year results on Friday. The high-street pub operator has already given warnings on profits twice this year, most recently last month. – The Times, 30 August
Schrager admits his London hotels are for sale
Hotelier Ian Schrager has admitted his company is in talks to sell the Sanderson and St Martins Lane hotels in London for "far in excess of £100m." The hotelier denied that the sale had been forced upon him because of financial difficulties. He said: "Given today's market and the prices we believe we can obtain for these properties, we felt obligated to explore this possibility." – The Independent, 28 August
Osmond may sell Wellington pub company for £400m
The Reuben brothers, the billionaire private investors, are believed to have agreed an estimated £400m deal to buy the Wellington Pub Company from Hugh Osmond, the pizza and pub entrepreneur. Simon and David Reuben are thought to have fought off competition from Trevor Hemmings, the leisure entrepreneur who owns Blackpool Tower and the Pontin’s holiday camp chain. The sale is expected to net Osmond and his backers more than £100m profit. – The Times, 28 August
S&N locked in beer price talks with pubs
Scottish & Newcastle (S&N) is locked in contract talks with all of the UK’s leading pub companies in a move that could spark yet more job losses from its depleted brewing operations. Beer supply deals with JD Wetherspoon, Enterprise Inns and Pubmaster are all currently up for renegotiation. – Scotland on Sunday, 29 August
Mass boycott of top lager brands in Dublin
The war of words between Dublin publicans and drinks company Diageo over the company’s decision to increase drinks prices in June has escalated into a boycott of some of the brewer’s brands, including Carlsberg and Budweiser. An estimated 250 of Dublin’s 1,000 pubs are now refusing to serve certain Diageo products. Lagers are prone to the boycott because they do not command the same brand loyalty as Guinness. – Sunday Times (Irish edition), 29 August
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