Mitchells & Butlers LFL sales down 3.1%

Harvester and All Bar One owner Mitchells & Butlers said like-for-like sales had fallen 3.1% as it warned of a “challenging and uncertain” future after the UK government imposed new Covid-19 restrictions on the hospitality industry.

In a trading update for the 51 weeks to September 19, the pub and restaurant owner said sales plunged by a third in July and bounced back during August’s ‘Eat-out-to-help-out’ discount scheme before settling at a 6.4% decline this month before the new curbs were announced.

It added that it had unsecured cash balances of around £100m, in addition to undrawn committed unsecured facilities of £140m.

“The future remains both challenging and uncertain, with only this week a curfew and other additional restrictions being imposed on how and when we can operate. However, we believe we are well placed to meet that challenge and to keep Mitchells & Butlers at the forefront of the eating and drinking-out market,” said chief executive Phil Urban in a prew-close trading update.