McMullen's has warned that increasing red tape would force up the price of a pint "substantially". Peter Furness-Smith, the company's managing director, said: "Government-induced costs in our industry are rising at unprecedented levels, materially over the rate of inflation and are on course to rise even further. "Wage costs have gone up and in addition, we are having to prepare and pay for the new bureaucratic licensing regime. "We will try to hold our prices as long as possible, but these cost increases are substantial and will mean that, when the time comes, our pubs will have no choice but to increase retail prices, probably quite substantially."