Issue 118
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Rising Costs and Falling Consumer Confidence Threatens Sector Recovery
A new report, Future Shock – Leaving COVID Behind has revealed that hospitality sales are back to pre-pandemic levels, however, 15% of roles remain vacant, costs are spiralling and consumer spending is being impacted by cost of living challenges. The latest and 11th Future Shock report, compiled in partnership between industry body UKHospitality and sector data and insight specialists CGA, demonstrates how expectations of a swift sector recovery have been dashed.
Like for like sales in the sector are back to 2019 levels, buoyed by takeaway and delivery sales which are up 107% in May 2022 compared to May 2019, and there’s been a 1% net increase in the number of licensed premises in the UK between December 2021 and March 2022. However, the report says that these are rare bright spots indeed, for an industry battling to survive an onslaught of challenges.
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