Pubs ‘n’ Bars, the AIM listed pub group operating 87 community pubs mainly in the South East, has gone into administration.
Administrators Grant Thornton claim the demise of the pub group, which saw a pre-tax loss of £690k in the six months to June 2009, was due to the effects of the smoking ban, the decline of machine income, and reduced consumer spend as a result of the credit crunch.
David Thurgood of Grant Thornton, said all pubs would remain operational while the financial situation of the group and each individual site is assessed.
“However it is clear that some of the weaker units may need to be closed to conserve cash in the business,” he said.
The announcement comes just months after Moorgate Taverns, a subsidiary of Pubs ‘n’ Bars operating 10 freehold pubs on the south coast, went into administration after failing to pay back £7m of debt. Pubs ‘n’ Bars has now suspended its AIM listing.