BUZZ-Mitchells & Butlers, Greene King: Numis downgrades on increasing cost pressures

** Numis downgrades Mitchells & Butlers (LSE: MAB.L - news) and Greene King to "reduce", citing cost pressures in the sector

** Broker says National Living Wage starting to see wage inflation kick in

** Cites figures from the Low Pay Commission showing the NLW is 93 pct of the median wage in the hospitality industry, against 58 pct of the UK as a whole

** Adds balance sheets have come under scrutiny after M&B decided not to pay an interim dividend, with the company citing a high level of uncertainty

** Prefers leased and tenanted pub chains like Marston's , Enterprise Inns (LSE: ETI.L - news) and Fuller's over M&B and GK, both of which manage some of their own sites

** GK down 6 pct, second top faller on FTSE Mid Cap index ; M&B off 2.7 pct