THE boss of pub chain JD Wetherspoon has warned that punters are drinking less beer.

Chairman Tim Martin said there had been a fall-off in demand as it was announced the group has downgraded final profits expectations.

Like-for-like sales grew three per cent in the four weeks to November 24 but while food surged 14 per cent, higher margin bar sales were flat.

Mr Marti, whose chain runs the Spinning Mule, on Nelson Square, and the Robert Shaw, on King Street, in Westhoughton, said he did not know what was behind the fall-off in demand.

"The pub industry has reported slower sales over the last six to eight weeks and we're trading miles better than the average," he said. "But whether it's the pub industry itself or whether it's people tightening the purse strings, I don't know.

"Maybe people are sobering up pre-Christmas."

Mr Martin remained confident conditions would improve in the build up to the festive season, and said underlying sales had climbed four per cent last week.

But that did not prevent the group, known for its no-music rule and cheap beer and food, from taking a battering on the London market.

Shares sunk 64p to 189.5p, a 25 per cent dive that had a knock-on effect for others in the sector.

Prior to yesterday's announcement, the City had been looking for profits from JD Wetherspoon of around £64.1 million for the year to July 2003.

Final pre-tax profits for 2002 were £53.6 million on turnover of £601.3 million and Mr Martin said the group still expected to improve on that despite today's warning.