The introduction of a full smoking ban is looking increasingly likely with the government appearing to dither over its current proposals.
Labour is currently set to introduce a ban in mid-2007 with exemptions for pubs that do not serve food and private members' clubs.
But reports this week suggest that despite a manifesto pledge, Tony Blair would not consider it a breach of confidence if these exemptions were not offered.
Pressure is mounting on Mr Blair from his own MPs to ditch the current plans and bring in a complete ban.
So far 101 MPs, including 69 of them Labour, have signed an Early Day Motion calling for a free vote on the issue.
Another 91, including 55 from Labour, have joined a motion demanding an outright ban.
Earlier this week a Commons Health Select Committee branded the current proposals "unfair, unjust, inefficient and unworkable."
But Tony Payne, chief executive of the Federation of Licensed Victuallers' Associations, said he had not given up hope of a compromise.
"We have written to every MP in the country and as far as we are concerned we are still fighting the corner," he said.
"We feel that rural pubs that will be badly hit by a ban should be offered a compromise. Why should clubs be exempt? Pubs are a much more important part of the community."
However Becky Salisbury, licensee at the Alford Arms, in Berkhamsted, Hertfordshire, believes a full ban is on the horizon. "I wish it wasn't the case but I think a complete ban is inevitable," she said.
"There are obviously financial implications, but for the trade the biggest thing is to protect out staff and this is the only way of ensuring there is a level playing field."
The report stage of the Health Bill is due to be heard in the House of Commons in January, which MPs will then vote on.