Hospitality sales rise 5.2% in March due to Easter boost
For the first month since November, restaurant, pub and bar groups achieved higher growth outside London than within the capital
Britain’s top hospitality groups experienced above-inflation like-for-like sales growth of 5.2% in March, according to CGA and RSM latest Hospitality Business Tracker.
While hospitality operators enjoyed the boost to trading that events such as Mother’s Day and St Patrick’s Day brought, the high growth metrics seen in the Tracker have been aided by early Easter Bank Holiday revenues falling into March.
This comes as last year’s Easter trading fell into April.
The Tracker showed that celebrations delivered “particularly” strong growth for the managed pub sector, where like-for-like sales were up by 7.2% in March.
Growth was softer for restaurants at 3.4%, and the On The Go segment saw a 5.2% decline.
Despite bars still recording a decline of 0.5% in March, this was somewhat of an improvement from the 13.6% and 7.4% declines from January and February respectively.
In addition, for the first month since November, restaurant, pub and bar groups achieved higher growth outside London than within the capital. March sales inside the M25 were 4% ahead of last year, but ahead by 5.7% beyond it.
Karl Chessell, director at CGA by NIQ, said: “These figures are encouraging for hospitality after a slow start to 2024 and show that people remain eager to celebrate holidays and special occasions in restaurants, pubs and bars.
“While spending remains tight for many consumers, we can be cautiously optimistic that their confidence will continue to increase in 2024 in line with an easing of inflation.”
Saxon Moseley, head of leisure and hospitality at RSM UK, added: “An early Easter break and the arrival of spring weather gave rise to inflation-beating sales growth in March, with pubs the main beneficiaries as friends and family opted to celebrate in their local establishments.
“After two months of sluggish growth to start the year, operators will be hoping these results represent the green shoots of consumer confidence returning to the market as inflation slows and energy prices fall.”
