New year pub sales still creeping up
The findings continue to present a slow start to 2024 for the sector.
Pubs and other venues across the country achieved modest like-for-like sales growth in February.
Accroding to the latest CGA RSM Hospitality Business Tracker, the findings continue to present a slow start to 2024 for the sector, after marginal growth of 0.1% in January in the wake of strong trading over Christmas.
The Tracker shows restaurants were hospitality’s best performing segment in February, with like-for-like growth of 2.2%, while pubs were only fractionally behind at 2.1%.
However, bars suffered a 7.4% dip in sales, reflecting a squeeze on consumer late-night spending and a move towards earlier eating and drinking out.
Operators performed slightly better in London than elsewhere in Britain. February sales within the M25 were 1.9% ahead of last year, compared to 1.3% outside it.
"Subdued trading in February shows consumers remain watchful with their discretionary spending," says Karl Chessell, director at CGA by NIQ. "With costs still rising for businesses as well as individuals, margins are under pressure and some operators remain fragile. But while the short-term outlook for hospitality is uncertain, underlying demand is good, and as inflation and interest rates hopefully ease and the Budget’s reduction in National Insurance contributions kicks in, we can be cautiously optimistic that people will start to loosen their spending over the spring and summer."
Participants in the CGA RSM Hospitality Business Tracker include Adventure Bars, Amber Taverns, Anglian Country Inns, Arc Inspirations, BrewDog, Coaching Inn Group Ltd, Fuller's, Heartwood Collection, St Austell, Star Pubs and more.
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