UK gov’t policies to help grow foodservice profit by 14.9% in 2026

The compound annual growth rate (CAGR) will reach $152.6b in the next four years.

The UK’s foodservice profit sector will increase at a CAGR of 14.9% from $69.6b in 2021 to $152.6b in the next four years due to government policies, data and analytics firm, GlobalData, said. 

In its report, pubs, clubs, and bars  posted the largest profit in the UK in 2021, accounting for a value share of 23%.

The quick-service restaurant (QSR) was the second-largest channel because of affordable, convenience, and quality options. The QSR sector is expected to increase at a CAGR of 7.8% during 2021 to 2026.

Srimoyee Nath, Consumer Analyst at GlobalData, said, “A drastic drop in the purchasing power of consumers and restrictions on operations of on-premise channels played a key role in the decline of sales across different profit sector channels during the pandemic. However, with restrictions being lifted and life returning to normalcy, the foodservice sector will revive, especially visible through channels that were most affected.”

Nath added that new formats for food service such as cloud kitchen will become a key driver for purchase decisions.