Mitchells & Butler has been approached by Punch Taverns, one of the UK’s largest pub operators. M&B is the owner of pub chains All Bar One, O’Neills and Harvester, formats which are seen as very 90’s and ones that have proved less appealing in recent times. Add to this M&B’s recent announcement of a ’strategic review’, indicating that it is looking for a suitor and a £274m hedging loss, and it was only a matter of time before an acquisitor came knocking.

Investors has become increasingly frustrated with M&B’s underperformance and would welcome a speedy resolution to any takeover. The combined group would be a major player in the sector with an estimated value of £3.7bn.

British Airways is to launch a business class only service from London City airport to New York in 2009. The service will no doubt appeal to the wealthy financiers located in Canary Wharf and The City. BA will operate a twice daily service on an A318 airbus, that will have room for only 32 passengers.

Whilst the almost door to door service between two of the most important finance centres sounds like a winner, the drawback is that the aircraft will need to refuel in Ireland on the outbound leg as the runway at City is not long enough to allow the plane to take off with a full fuel load. 

The brief stop off will add time to the journey and could be the sticking point in the success of this plan in what has become a very competitive niche market.