The hospitality sector is facing a tough first quarter in 2022 according to analysis from The Oxford Partnership, which has revealed that On Trade trading volumes show little hope for a recovery of the sector in early 2022.
The final data analysis of 2021 shows over 15 million less pints sold and venues losing an average of £4,300 in lost draught beer and cider sales, with New Year’s Eve yet to come.
All venue types are experiencing the same reductions, which geographically are being driven by London, the North West and South East, followed by Yorkshire. The biggest impacted area is the City of London where we see draught beer and cider sales more than £11k less than 2019. This means the government grants of up to £6k are woefully short of what is required to keep the hospitality industry supported at this difficult time.
Alison Jordan, chief executive of Oxford Partnership, commented: “The industry has warned of a new round of venue closures in the New Year, with the early December lack of clarity between government restrictions and the impact of Omicron taking its toll on the industry. We have seen innovation, resolve and unsurpassed customer service in the sector to ensure safety, but through a lack of understanding of these measures, consumers remain overly cautious.”
