Mitchells & Butlers denies aggressive pricing strategy

Mitchells & Butlers has pledged to stick to its "no irresponsible promotions" policy, despite plans to drop the average price of alcohol across its estate.

The UK's biggest managed pub operator is to use more "carefully targeted" promotions to attract consumers to its chains such as Harvester, Goose, All Bar One and Ember Inns. By September this year M&B expects to have reduced the average drink price across its 2,000-plus pub estate by up to two per cent year-on-year.

M&B chief executive Tim Clarke set out the price reduction at the company's annual results. He also said he expects the managed pub sector to be whittled down to two main players - M&B and JD Wetherspoon.

However, M&B spokesman Bob Cartwright stressed that the company had no plans to compete aggressively with Wetherspoon or any other operator on head-to-head price promotions. "This is an area where the trade has to be seen to be responsible, and we've clearly set our policy," said Mr Cartwright.

"However, there is scope for carefully targeted promotions, which we'll be implementing on a brand-by-brand and area-by-area basis. For example, it's been well publicised that all operators have seen some problems in Central London, where we've introduced a promotion in some outlets offering a choice of six bottled products at £1.99 each."

Drinks promotions are being supported by food offers where appropriate, such as the relaunch of Early Bird menu discounts at Harvester.