Shares in Mitchells & Butlers were up on the FTSE 250 after the pub group reported a rise in group like for like sales of two per cent in the year to 18 September.

Like for like sales at M&Bs Retained Estate division rose 2.8 per cent, while like for like sales in Food and Drink were up 4.5 per cent and 0.5 per cent respectively.

Like for like sales were particularly strong in the last nine weeks of the period. Total like for like sales rose 3.6 per cent, Retained Estate like for like sales increased 4.4 per cent, Food like for like sales were up 7.0 per cent and Drink like for like sales climbed 1.3 per cent.

M&B said it expected net debt at the end of the year to be around £2.3 billion, excluding proceeds from the sale of 333 non-core pubs expected to be completed in November. Capital expenditure in the year is expected to be around £131 million.

The group said that it was confident of future prospects..

Adam Fowle, Chief Executive of Mitchells & Butlers, said, "This is a very encouraging performance, particularly given the present consumer economy, and underlines the strength of the Mitchells & Butlers business. I am pleased at the speed of delivery on our strategic plan."

By 11:05 shares in Mitchells & Butlers were up 1.39 per cent on the FTSE 250 to 298.80 pence per share.