Trading Statement

Mitchells & Butlers PLC
27 September 2005


27 September 2005

                            Mitchells & Butlers plc
                            Pre Close Trading Update

Mitchells & Butlers is pleased to report strong trading in the 19 weeks to 17
September 2005 with same outlet like-for-like sales up 4.7%.

Amidst challenging trading conditions, we have continued to achieve market share
gains through our sales strategy, focused on improving amenity, range, service
and value to our customers. Same outlet volume growth in the 19 weeks of 10% in
food and 3% in drinks has supported further purchasing gains and increases in
staff productivity. As a result, overall trading for the 53 week period ending 1
October 2005 is expected to be at the top end of the Board's expectations.

Same Outlet Like-for-Like Sales

              19 weeks* to 17 September 2005    51 weeks to 17 September 2005
Residential                               5.7%                             5.7%
High Street                               3.0%                             3.3%
      Total                               4.7%                             4.8%

Uninvested Like-for-Like Sales

              19 weeks* to 17 September 2005    51 weeks to 17 September 2005
Residential                               3.3%                             3.6%
High Street                               1.9%                             2.3%
      Total                               2.7%                             3.0%

* Last reported like-for-like sales included 32 weeks to ensure comparability of
Easter trading.

The 70% of the Mitchells & Butlers estate in residential areas continues to
drive our growth, with same outlet sales up 5.7% in the 19 weeks, led by the
strong performance of Ember Inns, Harvester, Sizzling Pub Co, Toby and Pub
Carveries. In the High Street, our businesses continue to perform well despite
the competitive pressures, with same outlet sales up 3.0% in the 19 weeks, led
by our Town Pubs and Classics formats. The July terrorist attacks are having a
significant impact on our Central London estate. In the 11 weeks since the
attacks, same outlet sales growth in Central London was 2.2% compared with the
7.6% growth trend for the 40 weeks prior to the attacks.

Total retail sales for the 51 week period were up 4.4%, net of the impact of
disposals and outlets moving to franchise. Average retail prices for food and
drink were unchanged against last year and the total gross margin was broadly
maintained despite the faster growth of food and wine. With strong volume
performance and further cost efficiencies the net retail operating margin was
slightly above last year, having absorbed approximately £17m of regulatory and
energy cost increases.

Average sales per managed pub have increased to £16,400 per week, well over
three times the industry average, a rise of 8% in the 51 week period. This has
been driven by the success of our sales strategy and the continued investment in
our estate, achieving high returns and significant organic growth.

Cash generation remains strong and we are intent on continuing to deploy our
cash resources in the best interests of shareholders, through reinvestment for
high returns, value creative acquisitions or return by way of dividend and share
buy-back. The share buy-back programme of £100m announced last December has now
been completed.

On 30 November 2005, Mitchells & Butlers will announce its Preliminary Results
for the 53 week period ending 1 October 2005.

Outlook for 2006

Our business is increasingly focused on the informal, value for money, eating
and drinking-out market in residential areas, where we see sustainable long-term
market growth and where our pubs are well positioned competitively to capture a
disproportionate share. However the outlook on external costs remains very
challenging for the next twelve months. Energy costs have risen sharply in the
past few months and, combined with higher regulatory costs, we expect to incur
external cost increases next year in the range of £23m to £27m.

All of our applications for licence conversion and variation under the new
Licensing Act were submitted before the due date of 6 August. On average, we
have applied for an extension of one extra hour in the evening, depending on
local circumstances, and so far over 50% of our applications for variation have
been granted. We remain committed to the responsible retailing of alcohol
throughout the estate as defined by our rigorous and industry-leading Alcohol
and Social Responsibility policy.

Consumer spending continues to weaken. However, we remain confident that our
strategy of investing in our brands and formats and leveraging our scale
economies will enable us to capture additional market share and generate further
growth and cash returns for shareholders.

For further information please contact:

Investor Relations:
Erik Castenskiold                                       0121 498 4907
Media:
Simon Ward                                              0121 498 5795
James Murgatroyd (Finsbury Group)                       020 7251 3801

There will be a conference call for analysts and investors at 8.30am; please
dial 020 7162 0081. The replay will be available for one week on 020 7031 4064,
passcode 674942.

Notes for editors:
-   Same outlet (invested) like-for-like sales include the sales performance of
    all managed pubs that were trading for the two periods being compared. 95%
    of the estate is included in this measure.
-   Uninvested like-for-like sales include the sales performance of those
    managed pubs that have not received expansionary investment of more than
    £30,000 in the two periods being compared. 89% of the estate is included in
    this measure.
-   Mitchells & Butlers owns and operates around 2,000 high quality pubs in
    prime locations nationwide. The Group's predominantly freehold, managed
    estate is biased towards large pubs in residential locations. With around 3%
    of the pubs in the UK, Mitchells & Butlers has 10% of industry sales, and
    average weekly take per pub of well over three times the industry average.

Cautionary note regarding forward-looking statements
This announcement contains certain forward-looking statements as defined under
US legislation (section 21E of the Securities Exchange Act of 1934) with respect
to the financial condition, results of operations and business of Mitchells &
Butlers and certain of the plans and objectives of the board of directors with
respect thereto. These forward-looking statements can be identified by the fact
that they do not relate only to historical or current facts. Forward-looking
statements often use such words as 'anticipate', 'target', 'expect', 'estimate',
'intend', 'plan', 'goal', 'believe' or other words of similar meaning. The
forward-looking statements contained herein are based on assumptions and
assessments made by the Mitchells & Butlers' management in light of their
experience and their perception of historical trends, current conditions,
expected future developments and other factors they believe to be appropriate.
By their nature, forward-looking statements are inherently predictive,
speculative and involve risk and uncertainty, and there are a number of factors
that could cause actual results and developments to differ materially from those
expressed in or implied by such forward-looking statements. These factors
include, but are not limited to: the future balance between supply and demand
for Mitchells & Butlers' sites; the effect of economic conditions and unforeseen
external events on Mitchells & Butlers' business; the availability of suitable
properties and necessary licences; consumer and business spending, changes in
consumer tastes and preference; levels of marketing and promotional expenditure
by Mitchells & Butlers' and its competitors; changes in the cost and
availability of supplies; key personnel and changes in supplier dynamics;
significant fluctuations in exchange rates; interest rates and tax rates; the
availability and effects of any future business combinations, acquisitions or
dispositions; the impact of legal and regulatory actions or developments; the
impact of the European Economic and Monetary Union; the ability of Mitchells &
Butlers to maintain appropriate levels of insurance; the maintenance of
Mitchells & Butlers' IT structure; competition in markets in which Mitchells &
Butlers operates; political and economic developments and currency exchange
fluctuations; economic recession; management of Mitchells & Butlers'
indebtedness and capital resource requirements; material litigation against
Mitchells & Butlers; substantial trading activity in Mitchells & Butlers'
shares; the reputation of Mitchells & Butlers' brands; the level of costs
associated with leased properties; and the weather.




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