Sky News

'British Pubs Closing At Fastest Rate Ever'

"Pubs are closing down at their fastest rate ever - with those in towns and cities being hit the hardest."

The Daily Mirror

"There is no doubt that bingo halls, pubs and working men's clubs across Britain have closed because of the laws outlawing lighting up in any public place." (link)

Sunday People

'20,000 Pubs in danger'

"Contrary to most predictions before the ban was enforced last summer, it has had a devastating effect on pub trade.

When the ban came into effect one year ago this week, polls were claiming that up to 80 per cent of all adults were more likely to visit a pub. But hardly any of that horde of new customers has materialised - while regulars have vanished.

Last July one health insurance giant predicted: 'The ban will enable village and town pubs across the UK to play an even more integral role in community life.'

Today that boast raises a hollow laugh as village after village and town after town lose their pubs."

The Guardian

'Caterers have misread smoke signals'

"This time last year the British high street saw an unprecedented wave of behind-the-scenes spending on sparkling new kitchen facilities, as optimistic restaurant and pub operators predicted that the ban on smoking in public places - introduced in England 12 months ago tomorrow - would trigger an explosion in eating out.

Reliance on the old guard of heavy-smoking pub "regulars" would be replaced with brisker trade, including more women and families looking for something more adventurous than a bag of pork scratchings with their drinks.

But the investment was a huge financial bet - and it now looks to be failing spectacularly for all but the largest and most canny operators."

The Observer

'Public smoking ban hits pubs' beer sales'

"Pubs have sold 175 million fewer pints in the past year as a direct result of the smoking ban, according to market analysts AC Nielsen. Jake Shepherd, marketing director AC Nielsen, said: 'The winter months were particularly bad. Sales fell nine per cent through November to January when smokers would have been reluctant to stand outside in the cold to have a cigarette.'"

The Financial Times

'Law is final nail in the coffin of old-style pub'

"Pub closures are now running at a net rate of 27 a week, according to the British Beer and Pub Association. In total, 1,409 pubs closed in 2007 - up from 216 closures in 2006 and 102 in 2005. "This is the highest rate of closure ever," says Rob Haywood, chief executive of the BBPA. "The industry is in a crisis."

The bingo industry has suffered 37 closures in the last year, 6 per cent of the sector and double the closure rate of the previous three years. This week, the government said it will restore the lost gaming machines to clubs to help the industry through its "grave" crisis.

Gala Coral, operator of Gala Bingo, says growth prior to the smoking ban was running at 10 per cent. "Since the ban, we have seen a very sharp fall in revenue and admissions," says Neil Goulden, chief executive of Gala Coral. The smoking ban is entirely responsible for that, he adds."

The London Metro

'Over 1,000 pubs shut since smoking ban'

"Britain's pub and tobacco industries are unlikely to be breaking out the champagne to celebrate today's first anniversary of England's smoking ban."

Wales On Sunday

'Workingmen's clubs face last orders'

"Kevin Smyth from the union's head office said profits at working men's clubs were down 10% over the last year - and they don't look likely to recover anytime soon. He said: "We are now down to the same membership we had during the First World War. "People are angry with Labour for going back on a manifesto promise that members-only clubs would be allowed to let smokers in if they wanted.""

Caterer Search

'Food sales haven't compensated for the smoking ban'

"Before the ban, it had been expected that increasing food sales would be the saviour of an industry preparing for lower drinks sales as high-spending smoking customers deserted pubs.

But according to new research by analysts FMCG, pub food sales are actually falling as people look to eat out in pubs less often. As a result some operators are turning their backs on food to improve profit margins.

David Humphries, director at FMCG, which surveyed 1,000 pub-goers in mid-June about their eating out habits, said: "The outlook is just not brilliant. A net 9% are eating out less and the 25 to 34 age group has dropped quite significantly when it comes to dining in pubs."

The Publican

Readers of the two main pub journals The Publican and The Morning Advertiser were already well aware of the financial cost of the ban. Their coverage of the anniversary focused on their own surveys, with contrasting results:

'Trade down at half of pubs in first year of smoking ban'

"Exclusive research has revealed that more than half of licensees have seen trade drop since the smoking ban was introduced throughout the UK.

"No-one wants to stand outside in the cold and the rain," said one licensee who has seen sales plummet."

Nonetheless, The Publican downplayed the impact of the smoking ban, saying that it was only the second most important factor (with the credit crunch considered more important) and its survey apparently showed that a majority of landlords did not seek to have the ban overturned:

"65 per cent of licensees would not overturn the ban if they had the power to do so. The other 35 per cent said licensees should have the power to make the decision and that if they did they would allow smoking.

But John Madden, executive officer of the Guild of Master Victuallers, said the result did not tally with his direct experience.

"I am surprised that the majority think the ban should stay. I think the majority accept that it is here and have to live with it but I think the people whose trade has suffered as a result are not in support and have lost between 10 to 25 per cent of business."

The Morning Advertiser

Puzzlingly, while The Publican survey showed landlords to be in marginally in favour of the ban, The Morning Advertiser's survey showed that they were strongly against it.

'More than three in four licensees say trade has suffered due to the smoking ban'

"The readers' poll showed 77% of licensees think that trade has suffered as a result of the ban. Almost two thirds (63%) say business is worse than expected, and 72% predict a "challenging" or "very challenging" outlook for their business. Three out of five licensees said they had let staff go or reduced their hours. In addition, 73% want the ban lifted."

(Who to believe? The Morning Advertiser's poll that said 73% want the law changed or The Publican's poll that said that 65% would not reverse the ban even if they could? I suspect, as is often the way will surveys, that the clue would be in the wording of the question. Unfortunately that is not available to us.)

In another article, The Morning Advertiser announced: "On-trade alcohol volumes fell 8% in the nine months to March 2008 as the 'Smoking ban battered pubs'.

"Around 175m fewer pints were drunk overall as a direct result of the ban, says AC Nielsen, which provided the data on England and Wales one year after the English stub-out."

In the local press, a certain theme was again becoming evident:

Evening Telegraph

'Pubs in crisis one year after the smoking ban'

"Pubs are facing a struggle to survive one year after the smoking ban was introduced. Landlords and managers say profits are down by as much as 30 per cent because of the ban, which has been compounded by the effects of the credit crunch.

A survey of 50 pubs conducted by the Evening Telegraph revealed that three out of five said the smoking ban had affected them for the worse. Gary Heronsby-Smith, landlord of The Cherry Tree, in Sheep Street, Kettering, said: "The smoking ban has killed us. Before, 95 per cent of my customers were smokers but they have gone. I don't have an outside area, we're a land-locked pub. "The Cherry Tree is the oldest pub in Kettering, but it might not be here soon."

Dennis Willmott, landlord of The Bell Inn, Finedon, said: "I say that in three years time you'll be lucky to find a village pub. "The smoking ban is central to the problems. A cigarette and a pint go together. The smoking ban has been the nail in the coffin for English pubs.

Newmarket Journal

'Pubs count cost of smoking ban'

"Most people will tell you they are probably 25 per cent down on turnover, minimum, because of the smoking ban."

"You only have to look at Newmarket to see how small clubs are suffering."

"It's quiet now throughout the day and night."

The Northern Echo

'Thousands of pubs expected to close due to smoking ban'

Skelmersdale Advertiser

'Smoking ban is hitting trade at Skelmersdale pubs'

"Michelle Chambers, joint licensee at the Victoria Pub, Sandy Lane, Skelmersdale, said: 'Our trade is down by between 40 and 50%, and that is more to do with the smoking ban than the credit crunch. If it carries on like this we could have to close.'"

East Anglian Daily Times

'Smoking ban "is hitting pub trade"'

Bury Free Press

'Smoking ban has hit trade - expert'

"We were told to expect an influx of non-smokers and that hasn't really happened - if people have been sitting at home all these years waiting for a ban, we've found they're still at home."

A further indicator of how the smoking ban has affected the pub industry comes from the share prices of the big pub chains. Again the malevolent influence of the tobacco industry is clearly evident. Quite obviously, Big Tobacco executives have manipulated these graphs to show a massive downturn in pub share prices at the time when the smoking ban came in. (The graph shows the share price over the last three years with the date of the smoking ban shown by the red line.)

Enterprise Inns

Greene King

Regent Inns

JD Wetherspoon

Capital Inns (share price only available from June 2007)

Punch Taverns

Are we dealing with the greatest and most far-reaching conspiracy ever known to man? One that persuades shareholders to sell their stock cheap and persuades the vast majority of journalists and landlords that the pub trade is losing money hand over fist? I think we should be told.