Pub company Mitchells & Butlers is facing a much higher liability from a failed property deal than the £60m previously indicated. The Sunday Times

The pub operator behind the Harvester chain had arranged a hedge against increases in the long-term interest rate as part of a property joint venture it had been planning with tycoon Robert Tchenguiz.

But the market moved against the company during the conclusion of those talks, depressing interest rates. This left M&B with a potential £60m liability.

The market has continued to move against M&B and analysts believe it could now face a charge of up to £200m.