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 -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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6 OctoberRestaurants
Burger & Lobster turnover surges 40%
Burger and Lobster has announced its turnover surged 40% in the financial year ending 2 January 2022 (FY22), growing from £16.3m to £22.8m year-on-year. The nine-strong London-based restaurant group recorded EBITDA of £1.8m and it hailed net assets of £2.5m for FY22 with positive funds balance. The group performed ahead…
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5 OctoberFeatures
Is the UK pub and bar market on track for £8bn growth in 2022?
“There’s a plethora of difficult situations for pubs at the moment; penetration is down and spending is relatively flat,” says Katie Prowse, senior insight manager at Lumina Intelligence. “Consumers are also limiting their out-of-home visits, which is having an impact on pubs, on top of cost increases.” Despite macroeconomic challenges…
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Sep- 2022 -20 SeptemberPubs and Bars
Number of hospitality company insolvencies up 59% in a year
The number of hospitality company insolvencies has risen by 59% over the past year amid spiralling cost pressures, according to figures from the Insolvency Service. The data found that 2,156 pubs, bars and restaurants went insolvent in the 12 months until the end of July, compared to 1,354 the year…
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14 SeptemberNews
Nottingham to scrap late-night levy to ease pressure on businesses
A levy on late night licensed premises in Nottingham is set to be revoked from 31 October in a bid to ease financial pressure on local businesses. Nottingham City Council said the economic situation for the hospitality industry has changed since the introduction of the Levy eight years ago, due…
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