JD Wetherspoon will have to increase prices in response to rising costs

He also said the managed operator would look to open between 15 and 30 pubs per year over the next four to five years; its target for this year is 30.

The company last week reported a 2.7% fall in profit before tax and exceptional items to £34.8m in the six months to 27 January, with operating margin after exceptional items at 8.3%, down from 8.9% in 2012.

Martin said there was "no magic dust" to solve the problem of cost inflation. "I always say it’s 1,000 components of a BMW. We are just trying to improve every area of the company."

For example, spending more on repairs, adding new products and focusing on better service. In terms of possible price rises, Martin said: "It’s obvious customers don’t have much money, and rich people like a bargain and poor people need one!"

But he said: "We will have to go up a bit."

At its trading update in January, Wetherspoons said it was looking to open c25 pubs this year. Martin said today’s figure of 30 reflects the timings of recent acquisitions and completed licence applications. "It doesn’t change our long term numbers."

Martin said newer openings tend to generate higher food, coffee and real ale sales.

This morning Wetherspoons also announced that it will receive c£1.25m in an out-of-court settlement with developer Anthony Lyons, formerly of property leisure agent Davis Coffer Lyons, relating to actions over the JDW’s former retained property agent Van de Berg.

The company said: "The payment relates to litigation in which Wetherspoon claimed that Mr Lyons had been an accessory to frauds committed by Wetherspoon’s former retained agent Van de Berg and its directors Christian Braun, George Aldridge and Richard Harvey."

The legal action against Van de Berg began eight years ago. Asked if further action was to come, Martin told M&C Report​: "It’s hard to say. There’s one other case at the moment. They are always very unpredictable."