Smoking ban hits sales at Pubs'n'Bars

Pubs'n'Bars has become the first pub company to admit that July's English smoking ban could have had a negative impact on financial performance.

The majority of pub operators have cited the poor summer weather as the major factor behind slower trading this year, insisting the smoking ban has had little impact.

But Pubs ‘n' Bars chairman Seamus Murphy today broke away from the pack, admitting that the smoking ban "has initially had a negative effect on turnover" although he added that " it is difficult to quantify as last year the weather was significantly better".

"Turnover has decreased by approximately 4% since the beginning of July," he said. "However it is impossible to distinguish between the impact of the smoking ban and the wettest summer since records began."

Before the smoking ban became law the company posted a sales increase in the six months ending 30 June from £7.6m this time last year to £8.8m this year but pre-tax profits fell to £541,819 from £548,005 a year ago.

Pubs'n'Bars owns and operates 98 community pubs (65 managed and 33 tenanted), mostly in the south of England, which it describes as "locals" with "character" with the majority of customers come from the immediate area.

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By Christopher Walton

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