Insuring against a rainy day

A Covent Garden restaurant which relies on warm sunshine to attract customers has taken out an insurance policy against the British weather.

Managers at the Rock Garden decided to start saving for a rainy day when figures revealed that a cold, wet summer could halve the restaurant's takings.

Managing director Philip Matthews has agreed to a "bespoke" policy where payments are triggered when a series of weather conditions are not met.

The temperature-based policy pays out if the thermometer stays unseasonably low for an agreed number of days in a month. The target temperatures increase as the summer goes on.

"It's a bit like spread betting," said Mr Matthews. "This kind of fund is one of the latest investment opportunities, and people who put their money on the line are looking for a return. I suppose for every restaurant that takes out a policy against cold weather there is an umbrella manufacturer taking out a plan covering them for a heatwave.

At the restaurant yesterday, a chilly Bank Holiday wind was keeping customers away. Those who did brave the elements were wrapped up in jumpers and waterproof jackets.

The Rock Garden is one of London's most famous open-air restaurants. It made its name by hosting a series of live music events during its early years, when stars including Mick Jagger were regular visitors.