Hospitality sector sales climb 4% in November
Sales in bars however went down by 6.9%.
Britain’s leading hospitality groups achieved year-on-year (YoY) sales growth of 4% in November, the new CGA RSM Hospitality Business Tracker reveals.
Restaurant, pub, and bar groups have now achieved 14 months of like-for-like sales growth in a row. November’s figure marks an increase from October’s figure of 3.2% and is close to the current rate of inflation in the UK, as measured by the Consumer Price Index.
The Tracker—produced by CGA by NIQ in partnership with RSM UK—indicates an equally solid month for pubs, where like-for-like sales were 5% ahead of November 2022; and restaurants, where growth reached 4.9%. However, sales in bars were 6.9% down YoY to continue a dismal 2023 for the channel.
For the first time in 2023, total sales growth in the Tracker was slower in London than in the rest of the country. Groups’ sales within the M25 in November were 3.5% up on last year, slightly behind the increase of 4.2% elsewhere.
Karl Chessell, director of hospitality operators and food, EMEA at CGA by NIQ, said that the growth in November raises hopes that consumers have started to spend a little more freely.
“However, with the sector still besieged by relentlessly high costs, conditions will stay challenging for some time to come. Christmas trading can make the difference between a modest year and a good one, so all businesses will be hoping that consumers’ celebratory mood translates into confident spending on eating and drinking out,” Chessel said.