New figures from main hospitality commerce physique UKHospitality in partnership with CGA by NIQ, reveal that Britain’s variety of licensed premises has fallen by practically a 3rd (31%) within the final twenty years.
The figures spotlight the seismic modifications in hospitality and the sustained durations of stress the trade has been underneath, extra lately exacerbated by hovering inflation, rising vitality payments and workforce challenges. UKHospitality is looking for pressing Authorities assist within the Autumn Assertion, within the type of extending enterprise charges aid and freezing the present multiplier.
The insights present that on the finish of September 2023, the whole variety of licensed premises in Britain stood at 99,916 —a drop of 30.6% from the determine of 144,055 recorded by CGA in 2003, and the primary time it has entered 5 figures.
The biggest losses have been drink-led pubs, bars and nightclubs, which have seen a web decline of 43.6% over the interval. The final 20 years have additionally seen an uplift in managed websites, which have carried out higher than their unbiased counterparts, up 14.6% versus a decline of 32.9%. The interval has additionally skilled a rise in consuming venues, up 14.8%, primarily within the type of the informal eating eating places and food-led pubs, which displays the patron shift on this time from ingesting out to consuming out.
The optimistic information is that the broader hospitality sector continues to develop its workforce, suggesting that among the losses of venues are offset by bigger websites and significantly extra food-focused companies. Nonetheless, this exhibits a really modified panorama within the area of simply twenty years.
Kate Nicholls, CEO of UKHospitality, mentioned:
Given the stunning variety of hospitality enterprise closures uncovered by these new figures, the very last thing the sector wants is the potential £1 billion invoice on account of the enterprise charges hike due in April. Our trade has proved time and time once more that, with the correct circumstances, it could possibly drive nationwide financial development, put money into native communities and create jobs in any respect ranges.
The Autumn Assertion is a chance to increase the present enterprise charges aid and freeze the present multiplier. In doing so, it can’t solely save extra native and nationwide companies from closure however allow funding and development. We additionally proceed to ask the Chancellor to contemplate extra medium- to long-term measures to assist the trade, akin to reviewing the speed of VAT for hospitality and reforming the apprenticeship levy to offer companies extra management and suppleness over funding.
Karl Chessell, CGA by NIQ’s enterprise unit director – hospitality operators and meals, EMEA, mentioned:
These figures present the regular contraction of Britain’s licensed premises over a 20-year interval and that has accelerated in recent times with the triple whammy of Brexit, COVID and spiralling prices. However whereas the closures have negatively impacted communities and livelihoods, some tendencies have been optimistic, just like the dramatic improve within the amount and high quality of eating places and the success tales of multi-site operators. Demand for consuming and ingesting out remains to be robust and hospitality has a key position in connecting all our communities. The best authorities assist is required to make sure companies can survive and assist drive our financial restoration.
