A PUB landlady says her takings are down 60 per cent since "sick squaddie" Craig Briercliffe bit the head off a live chicken at the back of the premises.
Barbara Townson, of Sparth Manor, Clayton-le-Moors, said she could be facing financial ruin because of the prank.
She was speaking after it was revealed that 22-year-old Briercliffe is a member of the Household Cavalry's elite Scots Guards who are charged with protecting the Queen.
He is expected to face a dressing-down by his commanding officer.
Briercliffe, of Albert Street, Clayton-le-Moors, was given an £80 fixed penalty notice for disorder and criminal damage after footage of the distasteful stunt was posted on the website YouTube.
Mrs Townson said her pub and restaurant's family image had been tarnished by the incident and people had been put off going there because they thought it will be over-run by louts.
She said there were only three people drinking there on Saturday night.
Mrs Townson, who runs Sparth Manor with her husband Bob, said: "The guy did it for a bet but it's really ruined our business.
"My takings have gone down 60 per cent. I had taken a year to get it where it was, into the black. Now I'm back where I started when I took over.
"We are a family pub where people come for Sunday lunch and bring their kids to play. If it goes on like this I could be out of business in six weeks.
"I don't think it's fair. We just thought at first that a fox had got the chicken. We thought nothing of it until we heard what had gone on the website.
"Briercliffe hadn't thought about the ramifications, although I know from other people that he's extremely sorry."
Army spokesman Colonel David Sivwright said Briercliffe had been on basic training at Catterick Garrison in North Yorkshire at the time of the offence.
He said: "The police have dealt with the matter and he can't be punished twice for the same offence so he will not be formally disciplined by the Army.
"It's what we call yobbish behaviour and obviously not something we condone. I have no doubt his commanding officer will be having a quiet word with him."
He added that Briercliffe is now a fully-trained soldier in the Household Cavalry and helps to patrol Windsor Castle.