From Chapter 1:
Every one knows the legend of the water (or beer) thrown over Sir Walter by his servant when he first saw his master smoking, and imagined he was on fire. The story was first associated with Raleigh by a writer in 1708 in a magazine called the British Apollo. According to this yarn Sir Walter usually "indulged himself in Smoaking secretly, two pipes a Day; at which time, he order'd a Simple Fellow, who waited, to bring him up a Tankard of old Ale and Nutmeg, always laying aside the Pipe, when he heard his servant coming." On this particular occasion, however, the pipe was not laid aside in time, and the "Simple Fellow," imagining his master was on fire, as he saw the smoke issuing from his mouth, promptly put the fire out by sousing him with the contents of the tankard. One difficulty about this story is the alleged secrecy of Raleigh's indulgence in tobacco. There seems to be no imaginable reason why he should not have smoked openly. Later versions turn the ale into water and otherwise vary the story.

From Chapter 6:
There was indeed no diminution of tobacco-smoke in the coffee-houses. A visitor from abroad, Mr. Muralt, a Swiss gentleman, writing about 1696, said that character could be well studied at the coffee-houses. He was probably not a smoker himself, for he goes on to say that in other respects the coffee-houses are "loathsome, full of smoke like a guardroom, and as much crowded." He further observed that it was common to see the clergy of London in coffee-houses and even in taverns, with pipes in their mouths. A native witness of about the same date, Ned Ward, writes sneeringly in his "London Spy," 1699, of the interior of the coffee-house. He saw "some going, some coming, some scribbling, some talking, some drinking, some smoking, others jingling; and the whole room stinking of tobacco, like a Dutch scoot, or a boatswain's cabin.... We each of us stuck in our mouths a pipe of sotweed, and now began to look about us." Ward's contemporary, Tom Brown, took a different tone: he wrote of "Tobacco, Cole and the Protestant Religion, the three great blessings of life!"—as strange a jumble as one could wish for.