by business editor Trevor Sturgess

A successful challenge against the high cost of satellite television in pubs could ease financial pressures on the industry.

That's the view of Andrew Cowling, south east regional operations manager for Punch Taverns, the leased pub company, who said a Portsmouth landlady had done an exceptional job challenging Sky.

The group owns 3,000 pubs nationwide and more than 50 pubs in Kent and Medway.

Satellite TV subscriptions are linked to business rates, and each pub pays between £8,000 and £12,000 a year to screen Sky Sports.

"We are still following the letter of the law until there's an absolute judgement," he said.

"There is hope and optimism in the business that it will provide an opportunity to other people to show sport at a much lower cost."

Mr Cowling said pubs across the region had done well despite the tough economic climate, high business rates and rising energy costs.

"In general terms, we have had a very good year. The economic backdrop is affecting many people and businesses. We are to a certain extent dependent on people having disposable income."

Although many pubs were closing, Punch Taverns outlets were doing well. The company was investing in many, including The Canterbury Tales close to the Marlowe Theatre, Canterbury, and The Lobster Pot in West Malling.

There were no immediate plans to acquire more pubs, but to improve the existing estate.

Cask Ale was key to success, Mr Cowling said. It was one of the key growth areas and a "point of clear differentiation against supermarkets."

Punch Taverns Plc reported sales down slightly at £258m (2010: £291m) and pre-tax profit at £76m (2010: £90m). Average net income per pub grew for the first time in three years, with an average of £78,000.