Well Nation magazine Issue 1 by SportsNationMag

news & trends in wellness, health & physical activity www.well-nation.co.uk ISSUE 1 / DECEMBER 23

Interview: Huw Edwards CEO, ukactive

p24

Could third-party operators qualify for VAT benefits? p5

PHOTO: BFT

£250m funding to get ‘deprived’ areas active p12

What does the London Boutique Studio Report 2023 tell us? p30

Number of swimming pools in decline – but revenues on the up p20

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news & trends PHOTO: ORANGETHEORY/DIG,ME

John Challinor Publisher Tel: +44 (0) 7971 043396

The deal will see Digme take over four Orangetheory studios

Digme acquires Orangetheory Fitness’ London studios London-based boutique operator, Digme Fitness, has acquired the London studios of global boutique fitness operator, Orangetheory Fitness. The landmark partnership adds to Digme’s four studios in London, and is a continuation of Orangetheory Fitness’ strategy for international growth, expanding its 1,500+ strong global studio base by empowering local franchisees to drive expansion within their territories. Dan Williams, co-founder and former CEO of WIT Fitness, will lead the acquisition and long-term strategic direction for Orangetheory London. Williams brings with him a wealth of experience and knowledge in the London fitness scene, as Orangetheory seeks to expand its UK studio base with 20 new sites by 2026 through a combination of

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owned and franchised studio openings. Orangetheory London currently operates four studios, in Fulham, Wandsworth, Islington and Bromley, with a membership base of over 1,200. Following the acquisition, alongside Digme CEO Geoff Bamber, Williams intends to expand with four more studio openings before the end of 2025. Since its founding, through a combination of corporate and franchisee investment, studio capital, marketing investment, operational costs and corporate support, Orangetheory has spent over US$30 million in the UK to grow franchise opportunities. As a result, it is now one of the world’s fastest-growing franchise companies – with the UK a cornerstone for continued international growth strategy. Franchising will remain a key component in the expansion plans.

Tom Walker Editor Tel: +44 (0) 7796 512769

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www.well-nation.co.uk WellNation is published by Glencroft Ltd. This publication is protected by copyright and no part may be reproduced, transmitted or stored in any print or electronic format without the written permission of the publisher. Every effort has been made to ensure the accuracy of the contents of this publication and WellNation accepts no responsibility for any error or misrepresentation. Opinions expressed by the contributors and advertisers are not necessarily those of the publisher and we do not accept responsibility of losses or damages arising from them. Printed by BCP Media Group Ltd.

ISSUE 1 2023

news & trends Investing in digital “gives fitness operators the edge” PHOTO: SPORT ENGLAND

Fitness and leisure organisations that make continued investment in digital transformation are moving ahead of the competition when it comes to utilising digital across operations and in engaging new audiences. The claim comes from the third annual Digital Futures report from ukactive and Sport England, which charted the digital maturity levels of 204 fitness, leisure and sports organisations. In total, those taking part in the study represent 2,200 sites and facilities across the UK. The study is part of the larger Digital Futures Consultation, which began in 2021 and offers sector organisations – from fitness and leisure operators and national governing bodies of sport to active partnerships – free digital benchmarking and strategic recommendations. According to the latest report’s results, organisations that took part in the study for the second or third time scored, on average, significantly higher with a 57% digital maturity score, compared

The Digital Futures report is now in its third year

to new participants who scored an average of 43%. The report shows that organisations that have participated in previous years have increased their digital maturity and effectiveness score by 4%. Allison Savich, Strategic Lead for Innovation & Digital at Sport England,

said: “Digital is here to stay and it is particularly encouraging, in this third year of building our understanding of how best to apply digital to improve the experience of getting active, to see the growing participation numbers in Digital Futures from the whole system, including NGBs.”

Mental health now the “main motivation” for exercise in the UK

ISSUE 1 2023

The publication of the research coincided with National Fitness Day

PHOTO: UKACTIVE

Improved mental health is now the strongest motivation for Brits to exercise – even ahead of the prospect of staying in shape. That is the main finding of a survey of 2,271 people – commissioned by ukactive and conducted by Savanta – which shows that more than half of respondents (54%) consider their main motivation for keeping physically active to be improving their mental health. Of those responding to the survey, less than half (49%) said their main motivation was to stay in shape and physically fit. The findings show people are increasingly aware of the physical and mental benefits of being active, with 86 per cent agreeing that keeping physically active can help prevent various illnesses and injuries from occurring.

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PHOTO: HUUMANS

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The Huumans top team

Huumans teams up with RED January for ‘wellness journey’

Could third party operators get same VAT benefits as in-house providers? A consultation is underway to review whether local authorities which rely on third-party operators to deliver leisure services could still benefit from recent changes to VAT. The consultation – which involves consultants Max Associates, leading tax advisers and local government lawyers – will consider how agency agreements could be presented to bring savings to the partners, while also satisfying HMRC and meeting legal and procurement requirements. Lisa Forsyth, Managing Director, Max Associates, said: “Initially, when HMRC announced VAT revisions back in March this year, it appeared that the only beneficiaries would be local authorities managing in-house leisure services. This was because the changes focused on the re-classification of services such as gym memberships and

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other facility visits as ‘non-business’. Since not-for-profit leisure trusts can reclaim VAT associated with activity income, there was no immediately obvious financial benefit for them. “However, they do still pay corresponding irrecoverable VAT on expenditure. Some leisure operators are developing a new ‘Agency Agreement’ which could see operators collect income on behalf of the local authority as its ‘agent’.” In this scenario, income remains ‘non-business’. “The impact for the sector could be huge. UK Community Leisure estimates there are circa 780 not-forprofit leisure organisations. If all were to benefit, the anticipated financial benefit would be somewhere between £50,000 and £100,000 per facility, equating to a collective benefit of circa £39 million – £78 million per annum.”

PHOTO: PEXELS.COM/ANASTASIA-SHURAEVA

There are around 780 not-for-profit leisure organisations

Huumans have announced a partnership with RED January, a collaboration that puts wellbeing at the forefront of their shared missions. Glen Thurgood, CEO of Huumans, shared his enthusiasm for the collaboration: “Partnering with RED January is a natural fit for Huumans. We believe in the power of movement and holistic wellbeing, and this collaboration allows us to extend our reach and impact. RED January participants will have exclusive access to the Huumans platform, creating a unique opportunity to explore and prioritise their physical and mental health.” Hannah Beecham MBE, Founder of RED January, emphasised the importance of this partnership: “At RED January, we’re committed to making a positive difference in people’s lives through movement. Joining forces with Huumans amplifies our ability to promote overall wellbeing. The Huumans platform provides an innovative space for participants to confidentially engage in their wellbeing journey, complementing the physical activity aspect of RED January.” As part of the collaboration, those who sign up for RED January as a team, will gain access to the Huumans platform.

ISSUE 1 2023

People news PHOTO: UKSI

Sarah Williams and Nigel Holl join UKSI as non-exec directors

Sarah Williams (left) and Nigel Holl

The UK Sports Institute (UKSI) has appointed two non-executive directors to the organisation’s board: British Curling’s Executive Performance Director, Nigel Holl, and the Rugby Football Union’s Finance Director, Sarah Williams. The duo replace outgoing members Sir David Tanner CBE and Vic Luck, who have both served eight years (two full terms) on the UKSI Board. UKSI Chair John Dowson said: “Nigel brings decades of knowledge

and understanding of elite sport and knows first-hand what it takes to support a sport, an athlete or a team to succeed, while Sarah will bring her passion for purpose-driven activity, a broader knowledge of pro-sport and financial acumen to the team.” Formerly called the English Institute of Sport (EIS), UKSI has been the leading provider of science, technology, and medicine support to Olympic and Paralympic sports for 20 years.

PHOTO: WATTBIKE

Indoor cycling supplier, Wattbike, has appointed Ahmed Khodja as its new Direct to Consumer Director, a brand new role which will see him oversee the transformation of both on and offline consumer experience. Khodja joins Wattbike –which specialises in elite and performance cycling equipment – with a track record in e-commerce strategy, following a decade working with global online retailer of licensed sportswear, Fanatics.

Ahmed Khodja

PHOTO: WOMEN IN SPORT

Julia Newton appointed chair of Women in Sport

Newton was chair of GB Taekwondo

ISSUE 1 2023

PHOTO: KEITH SMITH

Wattbike appoints Ahmed Khodja to D2C role

Women in Sport has appointed Julia Newton as its new chair. Newton is a co-founder of sports marketing agency, Shine Communications, and is currently chair of GB Taekwondo. An experienced executive and non-executive leader, Newton has also worked for sports equipment giant Nike during her career. She said: “There has been a significant step change in the way women’s sport is viewed, but there is still a lot to do.”

Keith Smith partners with Fitronics to deliver training Keith Smith has partnered with Fitronics to deliver interaction training to companies looking to further develop their customer experiences. An industry veteran with more than two decades of experience, Smith will work as part of the Fitronics team to help gym and health club operators improve staff engagement with customers. Smith is a highly accomplished trainer and tutor who has been delivering qualifications, assessments, and maintaining quality standards since 1997.

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PHOTO:ESCAPE FITNESS

Big hitters return to Escape for ‘round two’

Steven Sykes and Duncan Black

iFIT gears Freemotion for growth with key appointments

Two industry veterans have returned to Escape Fitness after several years exploring other projects. Duncan Black and Steven Sykes both return to the team in business development roles to support the company’s global growth plans. Black, who spent the last 10 years growing his network in the international fitness market through consultancy and commercial development roles, said: “Stepping back through the Escape door feels like coming home.“

Swim England appoints Andy Salmon as CEO

PHOTO: SWIM ENGLAND

Swim England has appointed Andy Salmon as its new chief executive. Salmon, who has spent the past six years as chief executive of British Triathlon, will take up his new role in February 2024. He will replace Jane Nickerson, who is retiring after spending 25 years with the national governing body. Prior to his role at British Triathlon, Salmon was deputy chief executive at Scottish Golf for almost a decade.

Salmon will take up his post in 2024

PHOTO: SPORT ENGLAND

Natalie Daniels joins Sport England board

Daniels’ term is for three years

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Natalie Daniels has been appointed to the board of Sport England on a three-year term. Specialising in urban development and investment, Daniels is currently the Assistant Director of Housing at Greater London Authority (GLA), leading the implementation of the GLA’s affordable housing programmes. Daniels is described as a “passionate influencer of change” in the built environment.

iFIT has strengthened the leadership team of its commercial equipment arm, Freemotion Fitness, with the appointment of Chuck Fedorka as the new VP of Operations. In addition, Tom Sweigart, who joined iFIT in 2020, has been promoted to the role of Director of Member Care. With extensive experience in the fitness industry, Fedorka will be a critical addition to the Freemotion business, focusing on building products and customer experiences. Sweigart will focus largely on engaging with stakeholders and driving results. The appointments come as iFIT looks to further expand Freemotion’s reach globally, including the UK. Mark Watterson, CEO of iFIT Commercial said, “I could not be more excited to build iFIT’s commercial division alongside Chuck and Tom. Both have a proven track record in building high-functioning service and operations teams.”

Nick Mennell joins Pocket Rocket Group as Director Pocket Rocket Group has appointed Nick Mennell as Director, to head up business development and sales consultancy. Founded by Cheriee Wales and the late Lawra Angell, Pocket Rocket has delivered marketing expertise to the health and fitness industry since 2017, supporting a wide range of customers including equipment manufacturers and tech firms.

ISSUE 1 2023

news & trends Sustainable Futures to help sector reach net zero PHOTO: PEXELS.COM/ WILLIAM-CHOQUETTE

Industry body, ukactive, has launched a new environmental programme designed to support the physical activity sector’s transition to net zero. Called Sustainable Futures, the multi-year programme will focus on providing educational resources and tools to support ukactive members of all sizes to make informed decisions that will both reduce their carbon footprint and their energy costs. A Sustainable Futures Steering Group has been established to guide the development and rollout of the programme and is made up of operators from both the public and private sectors, sector suppliers, and external experts from organisations including Ofgem, Sport England and Net Zero Hubs. The group will help to progress the agenda, share learning, inform lobbying, improve education, measure progress, and ultimately, to accelerate change. A new survey has been launched to accompany the new programme, asking

The programme aims to help operators of all sizes to make informed decisions

organisations a series of questions designed to establish the potential for an ‘energy basket’ which would allow operators to group together to achieve greater savings on their energy costs. Huw Edwards, CEO of ukactive, said: “The government has set a target for decarbonising all sectors of the UK

economy to meet its net zero target by 2050 and the physical activity sector has a major role to play. Our ambition is to drive environmental standards for the sector in the same way we are driving standards for health and safety, digital transformation, and inclusion and diversity.” PHOTO: ELEIKO/VIRGIN ACTIVE

Virgin Active chooses Eleiko for strength upgrades Virgin Active has chosen fitness equipment specialist, Eleiko, as its strength training partner as it sets out to upgrade its UK portfolio of health clubs. Virgin is investing £15 million in ”revolutionising” its strength training offer across its UK clubs. Phase one of the partnership is already complete and saw Virgin Active’s new Wimbledon club – as well as upgraded sites in Clapham, Wandsworth, Notting Hill and Swiss Cottage – being fitted out with Eleiko equipment. Phase two, which is currently underway, includes Virgin’s Nottingham, Sheffield, Northampton Riverside Park, Northampton Collingtree Park, and Bromley clubs. The nation-wide investment programme is set to be completed by the end of 2023 with the remaining Clearview, Mill Hill, Fulham, and Kensington clubs receiving Eleiko equipment.

ISSUE 1 2023

Virgin Active’s new Wimbledon club now has Eleiko equipment

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The self-assessment tool has been designed for organisations across the sector

PHOTO: PEXELS.COM/ ANDREA-PIACQUADIO

Self-assessment tool to help sector become inclusive Industry body, ukactive, has launched a new equality, diversity and inclusion (EDI) self-assessment tool to support its members improve services and help ensure they are inclusive to all users. The tool will be open to organisations across the sector – including sports – and involves answering 40 questions focused on current practices relating to EDI. After completing the assessment, facilities, providers, and suppliers will receive an instant score to show how inclusive they currently are. The scores and analysis are intended for the organisation’s internal use and is not published externally. They will then be signposted to recommendations to help improve EDI practices.

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The scores are created through a weighting and ranking of key criteria on areas such as governance and leadership, data and insight, programming, provisions and partnerships, and workforce and training. Ukactive hopes the EDI self-assessment tool will help to understand the sector’s current position on EDI and set a benchmark based on the priority areas for improvement – with a full national sector report of the anonymised scores due for publication in March 2024. Timothy Mathias, Strategic Lead for EDI at ukactive, said: “For our sector to grow and perform its fullest role in society, it is fundamental that our services are as inclusive as possible so that physical activity can be accessed and enjoyed by all.”

ISSUE 1 2023

news & trends PHOTO: INSTITUTE OF SWIMMING

PHOTO: PARKWOOD LEISURE

Institute of Swimming and Swim England are collaborating with Disney and Ocean Bottle

Parkwood currently operates 75 sites

Parkwood delivers Learn to Swim scheme across Wales Parkwood Leisure has partnered with Swim Wales, the national governing body for aquatics in Wales, to deliver its Learn to Swim framework, promoting water safety and aquatic development in leisure centres and facilities operated by Parkwood and its partners across Wales. As part of the multi-year partnership, Swim Wales will provide support for all of Parkwood’s aquatic training and development requirements. This will include a comprehensive range of services, including swimming teacher growth plans.

Booty Builder launches ‘training zone’ concept Booty Builder has added a number of new machines to its equipment line, as part of plans to provide gym operators with the opportunity to create their own Booty Builder “Training Zones”. The new pieces of equipment include the Standing Hip Thrust, Loaded Back Extension, Belt Squat, V Squat and Standing Abductor. The new additions - together with the existing machines – mean that clubs and studios will be able to create an entire Booty Builder Training Zone using the branded equipment.

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Disney partners with sector bodies to help develop diverse swim workforce The Institute of Swimming and Swim England are collaborating with Disney and Ocean Bottle to launch a series of funded Swimming Teachers’ Recruitment Academies to diversify the aquatic workforce. Entertainment giant Disney and Ocean Bottle – a brand of reusable water bottles – are part-funding the training of new swimming teachers over the next three years in a bid to bring in a more diverse talent pool that is representative of the communities that live in Britain. Rebecca Cox, Managing Director, Institute of Swimming, said: “This special collaboration with Disney and Ocean Bottle has been created in a bid to make swimming and water-based activity as accessible and inclusive for everyone. Training and recruiting swimming teachers

Rebecca Cox

who represent our communities in Britain is extremely important in breaking down stereotypes and encouraging more people from a diverse background to learn to swim.” The Institute of Swimming has already launched funded academies with Northamptonshire Sport and Southwark Council to train 16 new swimming teachers.

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news & trends Sport England reassigns £250m for deprived areas PHOTO: SPORT ENGLAND

Sport England is diverting £250m worth of funding in order to help people living in the country’s 100 most socially deprived areas get more active. The move – which Sport England described as “major and unprecedented” – will see quarter of a billion pounds being redirected towards areas with the worst levels of physical inactivity over the next five years. In essence, the announcement marks an expansion of the agency’s current Place Partnerships work. Over the past five years, Sport England has run and evaluated a number of local delivery pilots, while committing to a longer-term investment in the network of 43 Active Partnerships. The community-led model aims for targeted action that is built on insights specific for each area. The model, Sport England says, has delivered positive results, leading to an expansion in the number of places that it will work with in this way. Of the £250m of redirected funding, £190m will be ring-fenced to

Funding will be focused on places deemed most in need

help an additional 80-100 places which have deemed to have the greatest need. An additional £35m will be invested in Sport England’s existing place partnerships, with a further £25m being made available to create tools and resources, ensuring every area of England can access support.

Tim Hollingsworth, Sport England CEO, said: ”Access to sport and physical activity in England is still not close to being a level playing field. “Where a person lives and the nature of the environment around them has a huge impact on how likely they are to be physically active.” PHOTO: EDINBURGH LEISURE/CHRIS WATT PHOTOGRAPHY

Edinburgh Leisure partners with ReferAll Edinburgh Leisure has partnered with ReferAll to manage all its health and wellbeing referral projects. The trust, which operates more than 50 venues across the city, is now using ReferAll’s data management platform to administer its Active Communities schemes. The 18 Active Communities projects aim to break down barriers to sport and physical activity and help people lead “healthier, happier and more active lives”. Using ReferAll’s technology, Edinburgh Leisure will have a real-time overview of all its Active Communities projects and their status, including the number of referrals received, uptake and completion rates. It will also allow the operator to analyse service performance and patient outcomes, making it easier to demonstrate the positive impact of the project to stakeholders.

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The 18 Active Communities projects aim to break down barriers to physical activity

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PHOTO: PUREGYM

The course launches in January 2024

Well HQ and CIMSPA partner for female health

PureGym grew its membership by 14.9% during Q3 2023

PureGym expands and grows its membership numbers Budget fitness chain, PureGym, saw revenues increase by 15.5% during the third quarter of 2023, reaching £137.7m for the three months to 30 September. The group – the second largest gym and fitness operator in Europe with more than 570 corporate-owned sites – saw its total membership grow by 14.9% during the period. There was also a 2.2% increase in the average revenue per member. The strong Q3 results mean that the company is on track to deliver on its target to bounce back in 2023, following nearly three years of pandemic disruption. For the first nine months of 2023, PureGym has seen revenues increase by 16.4% to £409.3 million, compared to £351.7 in 2022. The group credits the performance to “measured price increases” in

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existing gyms, the maturation of existing immature gyms and the opening of 55 new corporate owned gyms in the period from 1 October 2022 to 30 September 2023. According to Humphrey Cobbold, PureGym CEO, the company remains on track to open 43 clubs in 2023. “The current macro-environment remains a challenging time for all, but the business has continued to perform well against this backdrop with strong and accelerating momentum in the first nine months of the year. “The group has a robust capital and liquidity position with £213m of cash on the balance sheet and £358m of available liquidity, which puts us in a good position to fund expansion and investment in our estate. We see significant opportunity both in our core markets and further afield.”

The Chartered Institute for the Management of Sport and Physical Activity (CIMSPA) has partnered with The Well HQ to launch a new educational pilot aiming to enhance the knowledge and confidence around female health and physical activity. The course has been designed to help those working in education – especially further and higher education settings – responsible for delivering learning or teaching to students who, in turn, will be moving into roles where they will be working with women and girls.

Swimming Pool Support Fund’s second phase opens The second phase of the Swimming Pool Support Fund is now open to applications from local authorities in England with pools in their area. It will see £40 million of government funding being made available for local authorities to invest in improving the energy efficiency of public facilities with pools in the medium to long term. Sport England, which is managing the fund, is also providing £20m of National Lottery capital funding to complement the government money, bringing the total capital fund to £60m.

ISSUE 1 2023 13

news & trends PHOTO: STA

PHOTO: EVERYONE ACTIVE

The suite has been designed for those with long-term conditions

There is a shortage of 12,000 teachers

660,000 children “missing out on swimming lessons”

New wellbeing suite to tackle health inequalities through fitness Everyone Active has launched a new exercise studio concept, designed to tackle health inequalities in local communities. The first Active Wellbeing Suite opened in Middlesbrough this month and will support active ageing initiatives and other exercise-based programmes aimed at dealing with long-term conditions. Developed in conjunction with power-assisted fitness equipment specialist, Innerva, the new facility at Middlesbrough’s Neptune Centre utilises Innerva’s machines to empower individuals to improve their fitness and strength in a supportive and social environment. The Active Wellbeing Suite comprises a circuit of 10, fullyaccessible machines, each targeting a specific muscle group. The power

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assistance nature of the equipment means users don’t have to rely solely on their muscles to complete the exercises and can determine how much assistance they need and reduce this as their fitness and strength improves. A circuit is typically completed in 30 to 40 minutes and Everyone Active has introduced a dedicated membership for the new suite. Members can take part in guided sessions hosted by a member of staff or use their facility for their own training. Designed to be inclusive, the facility can be used by anyone, regardless of mobility issues or fitness level. It caters for a wide range of needs and conditions, including mobility limitations, obesity, high blood pressure, back pain and joint problems.

Hundreds of thousands of children are missing out on swimming lessons due to the shortage of swimming teachers, according to research conducted by the Swimming Teachers’ Association and Swim England. An audit of the aquatics sector found that 65 per cent of swimming lesson providers are restricted from growing their programmes due to the shortage. As a result, the two organisations said, up to 660,000 children could be missing out on swimming lessons and “may never learn a skill that could one day save their life”.

Physical literacy statement published for sector workers A new physical literacy paper has been published to help those working in sport and physical activity to better understand how people’s relationships with sport and physical activity changes over their lifetime. Called The Physical Literacy Consensus Statement for England, the publication also reveals how people’s views of sport and exercise is shaped by their experiences and opportunities to be physically active. More than 50 organisations from the world of sport, health, education, academia, and community sectors contributed to it.

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PHOTO:THE GYM GROUP

The Gym Group the number of members grow by 9.7%

Gym Group sees increases in memberships & revenue The Gym Group recorded a nearly 10% increase in the number of members across its sites in the first half of 2023, resulting in a major boost to revenues. The low-cost operator saw membership increase to 867,000 during the six months to 30 June 2023, an increase of 9.7 per cent on 2022. The figure means that the group, which currently has 230 gyms, is closing in on reaching its pre-pandemic membership levels. The Gym Group had more than 891,000 members at the time of the first COVID-19 lockdown in March 2020, but this fell to around 500,000 after the lockdowns. The increase in membership in 2023 is reflected in revenues growing 18.5% year on year. The group opened two new sites during Q1 2023 and the company plans to open a further four to five by the end of the year.

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Commenting on the results, John Treharne, chair of The Gym Group, said: “The Gym Group has delivered a solid first half, driving growth in both membership and yield, and remains on track for the full year. “The actions we have taken to strengthen management, our financial position and the group’s customer proposition will enable us to continue to take advantage of the many growth opportunities in our market.” Will Orr, who was appointed as Group CEO and joined the business on 1 September, added: “Our ‘high value, low cost’ proposition meets a clear customer need in a growing market. I am excited to join a passionate, expert team who are committed to lowering barriers to fitness across the UK.”

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news & trends Sector creates £3.91 of value for each pound spent PHOTO: SPORT ENGLAND

Every £1 spent on sport and physical activity in England returns £3.91 of social and economic value. The figure comes from the latest progress report on Sport England’s strategy, Uniting the Movement. The report charts how Sport England and its funding and programming are performing, as the sports body heads into year two of its second implementation plan. According to the report, England now has record high physical activity levels – with 1.02 million more active adults when compared to last year. Other headline figures include a 1.4% increase in children in Years 3-6 reporting three or more positive attitudes to sport and physical activity. When it comes to facility development, the report shows that Sport England has funded 250 football and multi-sport pitches over the last quarter. Tim Hollingsworth, Sport England CEO, said: “The report shows how

There were 1.02 million more active adults in 2023 than in 2022

Uniting the Movement is starting to grip with participation at record levels. “It shows the foundations we’re building to achieve our mission of creating an active nation that will lead to increased activity levels, decreased inactivity levels, narrowing inequalities within sport and physical

The 9,000sq ft building has been completely refurbished

PHOTO: HORIZON LEISURE

Horizon Leisure reopens former Sports Direct gym as a wellbeing facility

activity and an improvement in the experiences of children and young people when being active. “While the report represents a good start, there is still a lot more work to do to reduce inequality of opportunity in accessing sport, physical activity and all the benefits they bring.”

Horizon Leisure has transformed a former Sports Direct gym in Guildford into a health, fitness and wellbeing facility. Horizon – the charitable trust which manages Havant and Waterlooville Leisure Centres in Hampshire – invested £1m in the facility, which it acquired earlier this year. The 9,000sq ft building has been completely refurbished. Work included fitting the centre’s large gym area with high-specification equipment supplied by Life Fitness. Facilities at the centre include a studio space for group exercise classes and an indoor cycling studio. There is also a new sauna and steam space and a refurbished pool with changing facilities.

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news & trends PHOTO: ALLIANCE LEISURE

PHOTO:INNERVA

Innerva’s specialist equipment

Getting older adults active with powerassisted equipment GM Active has entered into a strategic partnership with Innerva, specialists in power-assisted exercise equipment, as part of plans to help older adults and those with long term conditions across Greater Manchester get physically active. Innerva will work with the GM Active consortium of leisure and community organisations to help engage harder to reach communities in regular and, where appropriate, rehabilitative, activity. Inactive older adults are often put off by the prospect of traditional gyms and fitness equipment.

£17.5m leisure and wellness centre prepares for launch The new £17.5 million Knaresborough Leisure and Wellness Centre is to open its doors to the public on 11 December. The new centre, includes a sixlane 25m pool, a leisure pool with flume and a 60-station fitness suite. There is also a studio for group fitness classes, a bespoke group cycling studio, sauna and steam rooms, a café and an outdoor children’s play area. Owned by North Yorkshire Council, the centre will be operated by Brimhams Active.

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The centre has undergone a £13.5 million transformation project

Rebranded Harrogate Hydro reopens following £13.5m redevelopment The Harrogate Hydro has reopened its doors following a £13.5 million transformation project funded by North Yorkshire Council. As part of the redevelopment of the venue – which was delivered by Alliance Leisure – the facility has been renamed as Harrogate Leisure and Wellbeing Centre. The building’s footprint has been expanded and substantially reimagined throughout, as part of the council’s goal to create a bright, modern offering more in keeping with the needs of today’s vibrant and diverse community. New facilities include a 400sq m fitness suite, a Les Mills immersive cycle studio, a sauna and steam suite, a wellness suite kitted out with power-assisted Innerva machines and a reconfigured reception and

café. Existing pool and leisure facilities have also been completely overhauled. In the pool, a new diving structure has been installed. Outside, the building has been remodelled to complement the surrounding environment with landscaping, a reconfigured car park, bicycle storage and electric vehicle charging points. James Foley, Alliance Leisure’s Commercial Director and strategic project lead, said: “Investment in the old Hydro has completely transformed the facility and future-proofed leisure provision for many years to come.” Alliance Leisure worked in partnership with ISG Construction and GT3 architects on the project, which was delivered through the UK Leisure Framework, managed by Denbighshire Leisure Limited (DLL).

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British Triathlon launches Active Skills for Life PHOTO: BRITISH TRIATHLON

British Triathlon has launched its new Active Skills for Life initiative, which looks to introduce the sport to more children, while also addressing inequalities within PE and school sport. Offering a range of inclusive resources and activities, the programme aims to help children embrace an active lifestyle and develop physical literacy in the core life skills of swimming, cycling and running – the three aspects of triathlon. As well promoting triathlon in schools, British Triathlon hopes the initiative will help tackle challenges in school sports provision. Andy Salmon, CEO of British Triathlon, said: “We know that children can establish, build, grow and develop healthy habits from a young age. “Our latest programme has been designed and developed over the past two years and looks to address inequalities within PE and School Sport provision at key stage two and hopes to give children all the confidence they

The programme looks to introduce the sport to more children

need to enjoy sport and continue their sporting journeys if they so wish outside of a school or educational setting.” Schools and other organisations – such as holiday camps and third-party sports coaching organisations – can adopt and utilise the Active Skills for Life programme in a range of ways.

Schools will be able to integrate Active Skills for Life activities into their key stage two curriculum through the printed resource pack and associated digital playbook. The resources provide six-week lesson plans in swimming, cycling and running, as well as transition skills. PHOTO: STA

Winners of Aquatic Excellence Awards revealed The Swimming Teachers’ Association (STA) has revealed the winners of its inaugural Aquatic Excellence Awards. The awards celebrate and showcase the achievements of all those who have been involved in delivering learn to swim programmes and aquatics training over the last 12 months, in line with STA’s charity objectives. For 2023, ten STAr winners were announced. These included Emma Holden, the owner of Swim Play Academy, who won the Sir Henry Pike Award. The award is named in honour of Sir Henry Pike who played a crucial role in the early days of the STA as Honorary Secretary, and is awarded to someone who has made an outstanding contribution to the STA over the last 12 months. The full list of winners can be found on the STA website: www.sta.co.uk

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The awards were held for the very first time this year

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news & trends Number of pools in decline, but revenues are up PHOTO: PEXELS.COM/PIXABAY

The number of public-use swimming pools in the UK continues to fall, according to the State of the UK Swimming Industry Report 2023, compiled by market intelligence expert Leisure DB. The report also shows, however, that revenue streams at publiclyowned pools have been buoyed by surging demand for swimming lessons and adults wanting to swim – with the average adult pay-per-swim fee exceeding £5 for the first time. David Minton, Leisure DB founder and industry analyst, said: “The continued downward trend in pool stock is sadly to be expected as the long-term impact of COVID continues to make itself felt, compounded by the very significant repercussions of persistently high energy costs. “Neither has government support been forthcoming at the time of writing this report; the application process for the funding announced in March is only just happening.

Swimming operators were badly affected by the pandemic

“With this in mind, what’s surprising in our 2023 figures is that we haven’t seen a more significant decrease in pool numbers: there’s been less of an overall reduction in pool stock over the past 12 months than in the year directly following COVID. However, we are likely yet to see the full and

final impact of COVID, and high energy costs will undoubtably cause more casualties; it’s important to note that our figures include pools temporarily closed but slated to reopen. The coming 12 months will be critical as big decisions are made on the future of pools across the UK.” PHOTO: ALLIANCE LEISURE

Alliance Leisure completes redevelopment of Abbey Leisure Centre Alliance Leisure has successfully completed a £3.5m redevelopment of Abbey Leisure Centre on behalf of Durham County Council. The centre’s four-court sports hall has been converted into family entertainment area with distinct zones catering for toddlers, juniors and teens. Attractions include soft play, a trampolining zone and an interactive Tag Active Challenge Arena. On the first floor of the building, the gym has been relocated and doubled in size. The existing gym has been converted to a group exercise studio, while the provision of a second studio allows the centre to offer a full programme of group cycling sessions. A new wellbeing suite has also been created in one of the centre’s two squash courts.

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Abbey Leisure Centre is owned by Durham County Council

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PHOTO: PENTATHLON GB

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PHOTO: DREAMSTIME.COM

The new facility at the university

University of Bath: ‘home of obstacle course racing’

4,000 hours were lost in state-funded schools in the last academic year alone

Fall in number of PE hours delivered in schools a ‘threat to wellbeing’ Cuts to the number of hours in PE and sport delivered in schools in England is a “matter of immediate national concern”, according to the Youth Sport Trust. Official figures released by the government show that 4,000 hours were lost in state-funded schools in the last academic year alone. Since the 2012 London Olympics, there has been a 12% drop in the amount of time secondary school pupils spend doing physical education and sport. Data shows that around 326,277 hours of PE and sport were delivered in secondary schools in England in 2011-12. By 2021-22 that had fallen to 290,033 – and to 285,957 in the past 12 months. In response to the figures, released this week, the Youth Sport Trust said the cuts pose a “threat to the wellbeing of young people”.

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“Fewer than half of children in the UK currently meet 60 minutes a day of moderate to vigorous physical activity which is the Chief Medical Officers’ minimum recommended level,” said Ali Oliver MBE, CEO of the Youth Sport Trust. “This is contributing to a nation where too many children are missing out, have poor wellbeing and lack a sense of belonging. The evidence is clear; unhappy and unhealthy children do not learn and just this week we are seeing proof of this as high levels of persistent absence and mental ill health have been cited as undermining pupils’ GCSE results. “PE provides a foundation for learning across the curriculum, the physical literacy it develops is as essential a life skill as numeracy and language literacy.”

Pentathlon GB is launching the UK’s first permanent sprint obstacle course, enabling both athletes and the public to challenge themselves on a world-class course. Based at the University of Bath, the new facility is due to open in early 2024 and will feature eight obstacles. These include steps, a big wheel, a 1.5m climbing wall, rings, a balance beam, wheels, monkey bars and a finish wall. The obstacles – which are being used in International Junior Pentathlon competitions – are designed to test an athlete’s power, balance, agility, coordination and strength. The introduction of the obstacle course builds on Pentathlon GB’s partnership with the University of Bath to create a centre of excellence for the sport, and will enable athletes to access training environments for five pentathlon sports, including running, fencing, laser shooting, obstacles and swimming, all on one site. Pentathlon GB is the UK’s governing body of modern pentathlon and the project to establish the course is being supported by UK Sport and the Union of Modern Pentathlon (UIPM).

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news & trends PHOTO: SPORT ENGLAND

PHOTO: PRECOR

The consoles feature a new interface

Precor introduces next generation of cardio consoles Precor has revealed its next generation of connected fitness solutions, which it says will “redefine standards in performance, fitness, and entertainment”. The consoles feature a newly designed user interface and a new feature called PrecorCast – a proprietary casting feature that is optimised for commercial fitness environments. PrecorCast seamlessly and securely enables exercisers to cast content from their mobile phone on the big screen, while ensuring the privacy of texts, emails, and other applications.

Fusion Lifestyle refinances, enters new phase of operations Fusion Lifestyle, the charitable sports and leisure management organisation, has reached a refinancing deal worth £13m set to support its plans into 2024 and beyond. The deal with NatWest will enable Fusion to build on its facilities, as well as brand and infrastructure. Fusion currently operates 66 sites, including six of the country’s oldest Lidos – one of which is the historical Newcastle City Pool. Fusion’s plans for 2024 include the refurbishment and new build of Kingsmead Leisure Centre in Kent.

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The strategy sets out plans to get more people physically active by 2030

Government’s sports strategy aims to get 3.5 more people active The UK government launched its longawaited new sports strategy earlier this year, setting out a blueprint to improve the nation’s health and fitness. At the heart of the strategy is a target of getting an additional 3.5 million people physically active by 2030. The new participation targets – to have over 2.5 million more active adults and over 1 million more active children by 2030 – are intended to reach people of all ages and backgrounds, and meet the UK Chief Medical Officers’ guidance (150 minutes of moderate intensity activity a week for adults and 60 minutes a day for children). Called Get Active: A strategy for the future of sport and physical activity, the strategy arrives as figures from the Sport England Active Lives Survey indicate that 25% of adults are currently deemed to be ‘inactive’ in

England, with over 11 million doing less than 30 minutes of activity in total a week. Data also indicates that 53% of children and young people are not meeting the CMO’s guidance of at least 60 minutes of activity a day – with 23% being fairly active, but 30% doing less than 30 minutes a day. It is the first sport strategy to be published since 2015, and looks to build on the government’s investment of almost £400 million in grassroots facilities, including in multi-sport facilities, swimming pools and park tennis courts. This is alongside investment of over £600 million for school sport and PE over the next two years, with a focus on making it clear that girls have the same access as boys. The strategy also includes plans to ensure that the sector moves towards a more sustainable future.

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Drive to make UK “most active nation in Europe” PHOTO: UKACTIVE

Leading bodies in the sport, fitness, recreation and physical activity sector have called on the main political parties and their leaders to commit to making the UK the most active nation in Europe. The National Sector Partners Group (NSPG) met with parliamentarians from across the House of Commons this week, to publish and promote a new “pledge” document. The document highlights how community sport, recreation and physical activity currently save the NHS £9.5 billion every year by preventing illness – while generating £85 billion annually in economic value. It also shows, however, how the value generated by the sector could be far greater if the UK could reach the activity levels of its European peers. The UK currently ranks joint 12th out of 15 comparable European nations for levels of physical activity and is the third highest spender on healthcare costs caused by inactivity.

The pledge was published at an event in the House of Commons

By committing to the pledge, the NSPG is looking for politicians of all parties to work together towards the group’s ambition of making the UK the most active nation in Europe. Should the goal be achieved, the NSPG predicts savings of up to £1 billion in healthcare spending linked

to inactivity, alongside an additional £3.6 billion per annum in GDP uplift. The NSPG consist of the Active Partnerships, Local Government Association, CIMSPA, The Sport for Development Coalition, The Sport and Recreation Alliance, ukactive and The Youth Sport Trust. PHOTO: UKACTIVE

ukactive and 4Global partner to improve sector’s data and insight Industry body, ukactive, and 4GLOBAL have signed a three-year strategic partnership agreement. The collaboration looks to strengthen the reporting, benchmarking and lobbying of evidence on behalf of the physical activity sector. The two organisations will focus on building and increasing the value and visibility of data and evidence across the sector. Contributing members will have access to in-depth analysis, with aggregated data providing trends and sector performance that will be shared at regular events. 4Global, a UK-based data company, will support ukactive’s Private Sector Benchmarking work that began in 2021 when facilities reopened following the pandemic.

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The collaboration will focus on increasing the value and visibility of the sector’s data

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Huw Edwards The ukactive CEO talks to WellNation about how the physical activity sector needs to frame the discussions and conversations it has with decision makers What are your thoughts on the government’s new ‘Get Active’ strategy?

What details would you like to see? The sports and physical activity sector has, through the National Sector Partners Group (NSPG) – which ukactive is part of – already done work in identifying what it would like to see. A major report, Unlocking the Potential, published in July 2022, details some major policy calls. These include a longterm policy commitment around PE and school sport premium as well as practical interventions around tax regulation, business rates and VAT.

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The sentiment and language in the strategy is the right direction of travel. Even the name of the strategy (Get Active) – when compared to the previous one (Sporting Future) – shows a shift in focus towards physical activity. The inclusion of participation targets in the strategy – to get an additional 3.5 million adults and children physically active by 2030 – provides clarity around the government’s ambitions. The strategy rightly recognises this can only be achieved through attracting further investment into the sector and we will continue to work with the government on identifying which tax and regulatory measures can achieve this. We were also pleased to see a recognition of the essential role that facilities play. Gyms, pools, leisure centres and sports venues represent the engine room of physical activity in the UK. What we are now keen to understand, however, is the detail behind the ambition – what will the strategy look like in practice? What we need to know is how these ambitions translate into clear, sustainable delivery plans that focus on the growth and development of the sector. And crucially, how does it plan to work with the sector in introducing those?

We’d also like to see a focus on incentivisation plans. For example, extending Cycle to Work schemes to include options such as home fitness equipment and gym memberships which, in an ever-growing hybrid working environment, would be hugely relevant. Through Unlocking the Potential we have given the government an “oven baked plan”, which is also reflected in the over-arching pledge that the NSPG provided in early September 2023 – to make the UK the most active nation in Europe. That ambition actually trumps the government’s target in the strategy, although you’d probably expect that from an industry. As a sector, we have been pretty consistent with our calls – so it would be good to see these come through in the detail of the strategy.

Among the strategy’s immediate actions was the setting up of a National Physical Activity Taskforce – what are your thoughts on that? I think a taskforce which includes government departments outside of the DCMS is really important, as it recognises that delivering an

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Campaigns like This Girl Can help highlight the benefits of exercise to new audiences

“I took the opportunity to reiterate that sport and physical activity is an industry, so it needs industrial support in order to grow and to support the government’s agenda”

active nation must be a cross-departmental mission. I attended the taskforce’s first meeting, representing the NSPG and it was mainly about setting the scene, taking stock of where we are and outlining aspirations and ambitions. At the meeting, I took the opportunity to reiterate that sport and physical activity is an industry, so it needs industrial support in order to grow and to support the government’s agenda. I also highlighted how there are currently a number of items in the Prime Minister’s in-tray – from NHS waiting lists and economic growth, to tackling longterm illnesses – which our sector can help solve. I also emphasised that the government needs to work with the industry and to co-create its plans and policies with us. If they do that, we have a real opportunity to deliver change. The commitment from the government regarding the taskforce is to have streams of working groups looking at a number of areas – from taxation, regulatory issues and data to facility investment and children and young people. We now await the development of those working groups. It will

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be interesting to see, over the next year, how the taskforce and the complementary working groups that support it will develop. Again, it’s the detail that follows that will be important.

If you could introduce any policy to ensure maximum benefit for the sector, what would it be? The sport and physical activity sector is a broad church, so the concept of finding a silver bullet for everyone is an interesting one. Those in the public sector would probably look to maintain their resilience and growth within local authorities and help gain some real support for the validation and definition of the service, so it can play a much bigger role in the day-to-day operations of local authorities. In the private sector you’d be looking at improving the operating landscape, involving issues such as VAT and business rates. If you’re looking for something that really unites the sector, then it’d probably be about the reality of our economic and political situation ISSUE 1 2023 25 3

right now. To quote Paul Johnson, Director of the Institute of Fiscal Studies, we are in a ‘fiscal bind’. This means that we need to find new ways for central government to better support governments at the local level. Perhaps we need to look at a payment by results model to create space in the overall cost envelope of local authorities, especially around health and social care. We could do that by investing in ways to bring more people into our facilities. That investment would then help keep people in good health and take the pressure off the NHS, especially when it comes to tackling musculoskeletal (MSK) conditions, diabetes, cardiovascular issues and mental health. In return for that initial investment, the overall cost envelope would then reduce over time through a reward mechanism that would involve the entire physical activity sector – public, private and independent operators. We’d certainly be interested in exploring that. What is becoming more apparent is that, to create headspace in local government funding, you need to be radical and bold to front up some investment so you can then create significant savings in the medium to long term.

“The sport and physical activity sector is a broad church, so the concept of finding a silver bullet which works for everyone is an interesting one” How can the physical activity sector better make the case that it can help with many of the issues the government is grappling with? I think the most encouraging thing for us, as a sector, is that there is now a recognition across all political parties that many of the systems (from health and social care to fighting crime) are broken – and that a shift towards prevention is required. The challenge we face is to convince the government to have the confidence to invest in us to help implement that change. The opportunity we have there is to start framing the discussions we’re having. For example, when it comes to children, young people and families, the conversation has,

National Fitness Day, organised by ukactive, takes place every year and gets millions active

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The sector is keen for the government to provide long-term policy commitment around PE and school sport premium

historically, been about the physical health of children. What we need to recognise is what the next government will do in this space. At the recent Labour conference, Yvette Cooper announced that a future Labour government would spend £100m in creating youth hubs, to address issues around social cohesion, anti-social behaviour and knife crime. What if we frame our offer in the context of that major announcement, making the point that we can help with that? Or take the government’s current concerns over the number of 18 to 24-year-olds leaving full-time work. For our sector, that age group is in a “sweet spot” when it comes to not only members and facility users, but employment profiles too. There are 30% more 16- to 24-year-olds working in our sector than the wider economy. So the conversations we have with the government should be framed on how we can support that particular age group, both with their health and by providing a pathway back to employment. Another area in which we could reframe our offer is economic growth – which is one of the priorities for any government. Our sector has a great opportunity to help growth by improving people’s health, in turn improving productivity

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– one of the main drivers of economic growth. We know that correctly framing the conversation can be hugely successful – because we’ve already done it with our musculoskeletal (MSK) hubs. There are currently 2.58 million people off work due to chronic or long-term illnesses, of which most are due to MSK conditions or mental health issues. We recognised this as an area the government was looking at and launched a pilot to transform leisure centres, swimming pools, and gyms into MSK health hubs. The initiative has been hugely successful and will expand to 100 sites across the UK by the end of this year. The government has now committed to funding and expanding the initiative in its Spring budget, which shows both the influence and potential we have. The framing of the conversations we have with the government – and thinking about how we present what we offer as a sector – is a really interesting area with lots of opportunities. Especially over the next 12 months, with a General Election looming. The key is to make the government understand that we can offer very specific solutions. The product we have – improving people’s health through exercise – is there. We just need to clearly present the value of it to the government. ISSUE 1 2023 27 5

The Parliamentary challenge will return for a second year in March 2024

How do you plan to promote physical activity at Westminster over the next year? There are three primary areas. One is that we will continue to spend time in Westminster – as well as in Cardiff, Edinburgh and Belfast with the devolved governments – talking to both current government and opposition advisers. The second is to work with our members to run a coordinated “show and tell” programme, showcasing to decision makers in central, local and devolved governments, what our members are doing in a range of areas – such as supporting children and families, workplace health and reducing long-term illness. We want to show the variety, quality and brilliance of our members’ services to ensure the decisionmakers fully understand what the sector does. Seeing and understanding how things work first hand is half the battle. When politicians get to engage with people who tell them how a programme has changed their life, they get it. The third is that we are working with fitness tech firm Myzone on the second ever Parliamentary challenge in March 2024. MPs, peers, and their teams in Westminster will be handed Myzone heart rate monitors, which they will use to measure their activity levels through the month. The technology tracks their effort levels using a points system,

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rather than focusing on volume or distance – making it proportionate and inclusive for all. The gamification aspect also plays on their competitive edge and offers us a great opportunity to really demonstrate the benefits of physical activity at the heart of Westminster. It will also be an opportunity for facilities and operators to get involved and engage with their local MPs, encouraging them to take part.

What will ukactive’s priorities be for 2024? Our priority will always be to help support the resilience of the sector. The war in Ukraine had a massive impact on our sector because of energy prices, so we need to be alert to global events that could affect our members’ ability to operate. We’re also rolling out our new energy strategy, which will help and support those in our sector who need help with their decarbonisation and net-zero journeys. We’re supporting our members to navigate what will be an intense political period ahead of the General Election next year. In both areas we’re looking to minimise disruption while maximising the opportunities. Sports and physical activity is on a growth journey just like any other sector. So we must have a perspective that there is more that we can do – which is exciting!

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OUT NOW 98 pages of interviews, analysis and, all the latest London boutique market data – available now

Want to know what’s going on in London’s boutique studio market? Look no further than Leisure DB’s London Boutique Studio Report 2023. New this year, fascinating in-depth operator interviews and expert commentary that unveil the captivating stories behind the statistics.

Boasting a 17.4% surge in studios since 2018, this report, featuring insights from industry trailblazers like Emma Barry, Jon Canarick, Sandy Macaskill, and more, is a captivating read.

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©BFT

“Operators changing con

Evolving the future

efining a boutique studio is probably the most difficult part of this report,” I wrote in the foreword to our inaugural London Boutique Studios Report back in 2018. At the time, my observation was down to the fact that it had taken many hours of debate and even more hours of challenging discussion around each brand to make sure it fitted the definition. Some red lines had to be drawn. Fast-forward to 2023 – the first time we’ve reported on this sector since 2018 – and what’s interesting, in spite of the many changes in the market over the past five years, is that defining a boutique studio is still challenging. If anything, it’s harder now than it was in 2018, as a growing number of facilities, from big boxes to corporate sites, integrate elements of boutique into their own offerings.

Consumer behaviours have changed, but the London boutique sector is stabilising and reinventing itself postpandemic. David Minton provides an overview of Leisure DB’s new London Boutique Studio Report 2023

What is a boutique studio?

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Given this ongoing evolution, for the sake of constructive comparison with 2018 data, we’ve used the same broad criteria and definitions in this report as we used previously. That is, a boutique must be a permanent, standalone group exercise studio that charges a premium price tag – typically a monthly membership of over £100 and/or a 10-class package priced at over £120. In return, customers should enjoy a premium quality experience across all touchpoints. There should be 20+ classes on offer each week, with each class able to accommodate a minimum of eight people, and no long-term commitment. Although many brands have now diversified their offerings, we also still classify each boutique as Cardio, Mind & Body or CrossFit; our data shows that almost all studios still have a primary focus, both in their product and their brand heritage.

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©BFT

©PSYCLE

There are now more than 300 boutique studios across London

s remain in the pioneering spirit, responding to nsumer behaviours with creativity and passion” Excluded from our definition are non-standalone studios, pop-up and non-permanent studios, outdoor fitness – however premium – and PT studios. Our report also focuses exclusively on the London market, which remains the hub of boutique activity in the UK. As such, our definition of boutique may differ slightly from your own. However, we believe it still captures the vital essence of boutique fitness, even as this sector moves into a new phase of its life.

Times of change

The headline findings of the 2023 report include that there are now over 300 boutique studios across London – up 17.4% compared to 2018 – with 56 per cent of the capital’s 6.98m adults (aged 18+) living within one mile of a studio. There are also over 15 per cent more boutique classes on offer in London than there were in 2018. Meanwhile, although openings are fewer than in the ‘peak boutique’ pre-COVID years, closures are also slowing as surviving brands stabilise and rebuild. The average unlimited monthly membership fee has increased by more than 20 per cent in the last five years, and a 10-class pack by almost 15 per cent, with many boutique operators shifting towards the sustainability and security of a recurring monthly membership model. These headlines are not to say it’s plain sailing in the sector, with finances hit hard, new funding difficult to come by and hybrid working changing consumption patterns; operator and expert interviews throughout the report point to ongoing consolidation and reinvention among boutique brands. Other challenges include the ‘consistent discounting’ referenced by many of our

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interviewees. “It risks commoditising the boutique fitness product,” says Joanne Mathews of Ten Health & Fitness. Staffing is another major concern, with post-pandemic working patterns reducing the talent pool available to city-centre studios, and new generations entering the workforce “with high expectations around pay and promotions, without the experience,” says Mathews. And while many boutique operators now look to franchising as their path to growth, expert commentators warn that it won’t work for everyone. “I’ve seen a lot more boutique brands turn to franchising recently and I’m not convinced that all will succeed,” says BFT’s Cameron Falloon.

A pioneering spirit

Yet “in spite of some permanent closures and a few brands falling into administration or liquidation, most have emerged leaner, stronger, more nimble,” says Leisure DB founder David Minton in his foreword to this year’s report. “Operators remain in the pioneering spirit, responding to changing consumer behaviours with creativity and passion.” That creativity includes not only a shift to recurring memberships, but also the extension of brand offerings and/or cross-brand collaborations, and continued provision of online content.”

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NEWS • PEOPLE • INTERVIEWS & PROFILES • TRENDS & ANALYSIS

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