THE AGENTS

Andrew Coulter

Director of business development at Redwoods Dowling Kerr

It was forecast that this would be a difficult year for the pub industry - and while this is true, it seems the licensed sector is made of sturdier stuff. It has been a year tinged with uncertainty, much of which can be attributed to the impact of the smoking ban.

Add to that the profits warnings issued by many of the larger chains due to the poor summer weather, Alistair Darling's pre-budget report on capital gains tax, and the recent credit crunch, and one has a string of unfortunate, compounding events that could signal big changes within the sector.

Well, not necessarily so; while there has been a levelling out of prices for good quality pubs, there is no evidence that the licensed trade is really suffering.

According to a report by the British Hospitality Association (BHA), the hospitality industry is worth more than £106bn, almost £5bn more than in 2006. Of course, the hospitality industry is multi-faceted, but in excess of £35bn is attributed to the drinks industry - and that figure is up on last year.

Admittedly, the smoking ban has forced many wet-led pubs to reconsider their options, diversify and adapt, but that is no bad thing. Many pubs have introduced food and those that already provided food are no longer able to rest on their laurels.

Those providing outdoor facilities are beginning to feel the benefits, and many owners have improved their business in the process, which can only be a positive thing when it comes to selling.

We have seen a shift in recent years in the social habits of the English population; gone are the days of the male- oriented environment, with pubs playing a vital role in the community as a place to drink rather than eat.

In more recent years, the focus is on casual dining,

which is a move away from restaurants and towards food- led pubs. Granted, this has already led to an upturn in the number of gastropubs, but there is room for further growth - and this is where the hot property lies in terms of buyer demand. Those entering the industry will be looking to the future and pubs with something different to offer are being snapped up.