Britain’s pubs and restaurants are cutting their opening hours as staff shortages, high energy costs and wider inflationary pressures take their toll.
(Bloomberg) — Britain’s pubs and restaurants are cutting their opening hours as staff shortages, high energy costs and wider inflationary pressures take their toll.
Three quarters of hospitality businesses are operating below capacity, according to a survey published by the British Chambers of Commerce.
The BCC said confidence and sales remained slumped at the end of last year across the whole UK economy, with retail and hospitality “particularly weak.” More firms in those sectors reported falling sales than those saying revenues were on the rise.
“Business confidence remains worryingly low,” said David Bharier, head of research at the lobby group, adding that inflation and trade barriers between the UK and the EU are putting particular strain on companies. The BCC’s survey concluded at the end of November.
Kate Nicholls, chief executive of the trade body UKHospitality, said the number of businesses reducing their hours had “accelerated” since the summer.
“For some, it will be taking out hotel rooms or taking out tables and for others it’ll be dropping a service,” Nicholls said. “Whether that’s not opening on a Monday altogether, or not doing breakfast and just opening at lunchtime.”
Dermot King, chief executive of Oakman Inns, has paused breakfast on Mondays and Tuesdays in some venues. “In some of our smaller pubs, there might be a case for closing on Mondays,” he said.
“We would generally do breakfasts for 8 a.m., but we may in early midweek take that out of the service and, and in some of the destination pubs just not open until lunchtime.”
Bars and restaurants in town and city centers have suffered fewer customers as a result of train strikes, with UKHospitality estimating a £2.5 billion knock to revenues.
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