Cost of Living
Coverage explores the impact of economic pressures on consumer spending, staff retention, and operational costs across the UK hospitality sector. We report on inflation, wage demands, energy prices, and discretionary income trends, analysing how restaurants, pubs, caterers, and other operators are adapting pricing, staffing, and promotional strategies in response to shifting demand and household budgets.
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Dec- 2022 -22 DecemberBusiness
Energy price cap to rise by 80% to £3,549 from October
Ofgem has confirmed that the energy price cap will increase by 80% to a record £3,549 a year for dual fuel for an average household from 1 October 2022. The rise will affect those on standard variable tariffs, with the record annual bill only being based on typical usage. At…
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15 DecemberNews
Bank of England raises interest rates by 0.5% to 3.5%
The Bank of England (BoE) has announced that interest rates will be raised by 0.5%, bringing the base rate of interest to 3.5%, the highest level in 14 years. At a meeting held on 14 December 2022, the Bank’s MPC voted by a majority of 6-3 to increase rates by…
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9 DecemberRestaurants
25 hospitality leaders host zero carbon roundtable
Some 25 leaders from hospitality organisations including Azzuri, Greene King, IHG, Gaucho, Revolution Bars, Peach 2020, Punch Pubs and WSH joined together as part of the Zero Carbon Forum CEO/CFO roundtable held at Carousel, London, to discuss how the sector can decarbonise while the industry is facing multiple crises. The…
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8 DecemberBreweries and Distilleries
Wild Beer Co enters administration
Somerset based brewer Wild Beer Co has ceased trading and entered administration as a result of rising costs. The company stated on its website that Undebt.co.uk had been appointed as administrators and are managing the affairs, business and property of the company. Administrators are looking into potential acquisitions for the…
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5 DecemberPubs and Bars
Energy costs ‘biggest threat’ to pubs’ viability, report finds
Energy bills returning to their regular rate post-March would put pubs and brewers at a loss of 20% on average, according to a new report by Frontier Economics, produced for the British Beer and Pub Association (BBPA). The report found that energy costs were currently the biggest threat to their…
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Nov- 2022 -10 NovemberPubs and Bars
Nightcap to slow expansion plans despite revenue surge
Nightcap has announced that it plans to slow down its expansion plans of new site openings during the current financial year as trading in the first 13 weeks to 2 October 2022 has been “adversely” impacted by record warm weather, train strikes and the cost of living crisis, combined with…
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Oct- 2022 -21 OctoberFood and Drink
Deliveroo warns of growth hit despite strong Q3
Deliveroo has warned that future sales could be hit by the ongoing cost of living crisis, despite welcoming continued year-on-year growth in Q3. Over the period, gross transaction value (GTV) rose by 8% year-on-year, while GTV per order was up 6%, largely driven by item level price inflation. Nonetheless, orders…
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12 OctoberCafes and Coffee Shops
Pret A Manger announces £10m staff pay rise
Pret A Manger has announced it will be investing an additional £10m in staff pay to support its UK workforce with the rising cost of living, with all UK employees across shops and its support centre set to receive a 5% pay increase, effective 1 December 2022. This means that…
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12 OctoberFeatures
Why do casual dining sites thrive in economic uncertainties?
“Quick service restaurant companies like us often do well during periods of recession and economic uncertainty,” says Richard Morris, chief executive officer of Tortilla, “as consumers tend to turn to good value-for-money products and brands that they can trust during such times.” In fact, more people are purchasing takeaway or…
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11 OctoberPubs and Bars
Drink demand keeps Marston’s sales afloat in FY22
Marston’s has announced that total retail sales for the year to 1 October were up by 2% against FY19, predominantly driven by drink sales which continued to outperform food sales in the period. Like-for-like sales were down 1% against FY19 however, reflecting the impact of trading restrictions last December and…
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