09/12/2009 - Pubs 'n' bars in administration
The beleaguered pub industry faces another blow after operator Pubs 'n' Bars was placed into administration, threatening jobs at its 87 premises.
The group, which operates mainly in the South East, will continue with its pubs for the foreseable future but administrators at Grant Thornton said some outlets may need to be shut.
Pubs 'n' Bars expressed its "deep regret" after it could not persuade its bank to provide enough funding to allow it to carry on trading.
Administrators said the problems at Pubs 'n' Bars appeared to originate from the smoking ban, which caused a drop in the group's takings from cigarette and gaming machines.
More recently, the recession has further cut into customers' spending power.
Pubs 'n' Bars is one of several firms in the sector to have struggled in the recession.
Walkabout bars and Jongleurs parent company Regent Inns fell into administration after suffering losses, although much of the business was then rescued in a management buyout.
Earlier this year, figures from the British Beer & Pub Association (BBPA) showed more than 50 pubs closed every week in the first half of the year and the organisation said the data "continues to reflect the current trends in the industry".
Copyright © Press Association 2009
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