Pubs and restaurants in trouble as cash-strapped Brits set to stay at home
Hospitality: ‘It’s going to be tough’ says Watson in January
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Feed It Back surveyed 58,060 people and found that more than a third (36 per cent) plan to spend less this summer at pubs and restaurants.
Soaring energy, fuel and grocery costs mean just five per cent of consumers say they will be spending more on drinks and meals out.
Kate Nicholls, UKHospitality boss, said: “Hospitality is facing an onslaught of challenges, not least the drop in consumer confidence which is affecting visits and spend in the sector as these figures show.
“On top of this, businesses are suffering from soaring costs across the board and a staffing crisis that leaves one in seven hospitality jobs now unfilled.”
Richard Burge, chief executive of the London Chamber of Commerce and Industry, said: “We urge the Government to cut business rates and undertakeVAT and corporation tax reviews for hospitality businesses.”
The survey by the hospitality data company found that 59 per cent are less likely to book a venue if payment is needed up front.
Dan Hawkie, managing director of Feed it Back, said customers were struggling with the rising cost of living. He added: “As a result, they’re looking for better experiences when they do choose to go out and spend their money – substandard food or service won’t be accepted.”
Emma McClarkin, chief executive of the British Beer and Pub Association, said: “Summer months are usually some of our industry’s busiest. So, whilst unsurprising, this news will come as a further blow to pubs across the country who are battling against rising costs themselves, with only one in three currently making a profit.”
Landlady Fran Vesey said she faces a lot of work just to “survive” as the cost-of-living crisis has hit her pub business.
The 59-year-old, who with Neil Hooper runs The Five Bells in Buriton, Hampshire, said: “Our customers are cutting back.
“We have the choice of reducing hours or putting up prices to absorb increased overheads. But that will price a lot of ordinary families and households out of the eating-out market.”
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