Ban hits pub operators: half see profits dip 6%+
The damaging impact of the smoking ban one year on is laid bare in a survey of Association of Licensed Multiple Retailers (ALMR) members, exclusively for the MA.
The survey of 14 companies — operating more than 1,300 pubs between them — found 36% saw sales fall more than 6% since the ban. Half said profits have fallen more than 6%.
Wet sales and AWP income has been hit the worst as many traditional beer-drinking, machine-playing customers stay away.
A total of 43% of operators said wet sales fell more than 6%, while 36% saw a decline of 1% to 5%.
More than two thirds — 71% — of companies saw machine income fall 6% or more.
“The Government needs to realise that pubs are having a difficult time after the smoking ban,” said ALMR chief executive Nick Bish.
But there is some positive news from the survey, with 29% of firms saying food sales are up more than 6% since the ban.
Bish added: “Food-led pubs are stable or showing marginal improvement as people stay longer, and the family trade has probably gone up.”
In addition, 57% said staff find working in a smoke-free environment “a major benefit”.
The survey shows the level of investment made for the ban.
More than one third (36%) spent £2,001 to £5,000 per site on shelters and other improvements, 29% spent more than £5,000. A smaller proportion, 14%, spent £1,001 to £2,000. The same proportion spent nothing, and 7% spent less than £1,000.
To Comment: Login or Register