London lagging behind rest of Britain in hospitality sales
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Despite an overall booming September trade for Britain’s restaurants, pubs and bars, sales in the capital lagged behind, according to the latest Coffer CGA Business Tracker.
Britain’s managed restaurants, pubs and bars had their second successive month of year-on-year sales increases, with total sales even up on pre-pandemic levels of September 2019 by eight per cent. However, these figures show a clear separation with London, where sales were down one per cent.
While industry leaders have said these figures are encouraging overall, there has been concern over London’s lag and urges for additional targeted support.
“The stark contrast in results for London… demonstrate that the challenges faced by the hospitality sector are far from over,” said head of hospitality at RSM Paul Newman.
“There is a clear need for further targeted support from Rishi Sunak in his Autumn Budget Statement.”
It is suggested that the continuing lack of city workers and international tourists are responsible for the capital’s lag. In addition to other recent strains on the sector, including worker shortages and the supply chain crisis, businesses remain under pressure.
Commenting on the figures, director at CGA Karl Chessell commended the resilience of restaurants, pubs and bars under these pressures and noted how consumer appetite is high.
However, he also cautioned for the need for sustained support: “difficulties for London and a 10 per cent shortfall in rolling 12-month sales are reminders that we are not yet out of the woods. Many businesses remain under severe pressure from operational issues and debts, and they deserve targeted and sustained government support to sustain their recovery.”