Pubs are serving fewer drinks than ever. Publicans say that they are pulling 1.4 million pints a day - 1.6 million fewer than at the height of the market in 1979. The decline has been blamed on closures after the smoking ban, rising costs and competition from supermarkets.

Licensees say that the 10.6 per cent drop in sales between April and June compared with the same period last year could lead to the demise of hundreds of pubs. A spokesman for the British Beer and Pub Association said: “Beer sales in pubs are now at their lowest level since the Great Depression of the 1930s. We need a change of approach.”

The police are calling for tough new laws after the association announced that its members were abandoning the voluntary code banning aggressive drinks promotions.

The decision by more than half of the country’s 57,000 pubs not to end happy-hour deals is likely to trigger an intense price war this summer.

Last week the Home Office published a review of alcohol retailing standards, conducted by KPMG, which found that many pub and club operators were already flouting the voluntary code.

The Association of Chief Police Officers and Alcohol Concern have asked the Government to abandon self-regulation in the industry in light of growing concerns over alcohol abuse. “Sadly the trade repeatedly shows that it cannot be relied upon to consistently act in a responsible way,” said Chris Allison, its spokesman on alcohol.

Times Recommends

• Minister in talks with Saudis to protect creditors
• Premier Inn hits back in £29-a-room row
• Bankers hit back at 'populist' bonus supertax