In a move that will cause concern for members of the UK pub trade, another American city has banned smoking in all of its pubs and restaurants.
The latest ban will affect 13,000 bars and restaurants in New York, which have already voiced concerns that they may lose valuable business through the move.
This view is supported by UK licensees, who believe that a smoke ban in pubs could lead to a huge drop in trade and a loss of jobs.
The British pub trade, which has been pushing for self-regulation through the Smoking Charter, fears it may be next on the hit list, especially as both New Zealand and Ireland are set to follow suit with smoking bans in the next 12 months.
The Publican's Market Report 2002, a survey of 750 publicans, showed that on average licensees thought they would lose around 39 per cent of custom if smoking is banned.
The trade wants to reduce the likelihood of regulation on smoking by proving that the voluntary Smoking Charter, which promotes self-regulation in pubs through the use of signage, good ventilation and no-smoking areas where possible is a workable alternative.
MP for Harrow West Gareth Thomas has put forward a proposal to ban smoking in cafés and restaurants in the UK because of the impact of passive smoking on workers. His proposal is set to be debated in the House of Commons on April 14.
FOREST, the smokers lobby group has called on the government to introduce tax incentives for businesses to improve air quality.
The organisation is calling on the Chancellor to implement the new tax breaks in the impending budget on April 9.
Simon Clarke, director of FOREST, said: "Banning smoking in New York and California is the wrong approach.
"Better air quality would be welcomed by everyone, smokers and non-smokers alike. The hospitality and leisure industries have already made progress in this area. The Chancellor could encourage further initiatives by allowing companies to offset installation costs against tax."