Marston’s details steps in face of ‘uncertainty’

Pub group Marston’s, which is growing in Scotland, is to cut back spending, free up cash and reduce debt this year as it prepares for political and economic “uncertainty”.

The company plans to improve its free cash flow by up to £30 million a year, on top of previously announced spending reductions of the same amount, amid business uncertainty over the outcome of Brexit negotiations and headwinds facing the pub industry.

It comes as it unveiled a 13 per cent rise in statutory revenue to £1.14 billion for the year to 29 September. Underlying pre-tax profits rose 4 per cent to £104m.

“Macro-economic and political uncertainty is reflected in our capital plans this year,” boss Ralph Findlay said. “However, the outlook for good pubs and brewing remains attractive and Marston’s is well placed to leverage the opportunity this presents.”

Last month the group bought 15 former Mitchells & Butlers pubs, but it has also signalled greater caution on new openings for the current financial year.