Using tips to "top up" staff pay to meet minimum wage levels will be banned from October, the government has announced.
The move aims to give thousands of workers fair wages and boost consumer confidence in the use of tips.
However, there may be some loopholes in the government's initiative.
Meanwhile, the British Hospitality Association argues that a recession is not the time to increase restaurant costs so significantly.
Money Box hears from pub owner Gerry Price and speaks to Employment Relations Minister Pat McFadden.