Growth of +£5.4 bn year-on-year, as UK Restaurant Market Report forecasts Sector’s Value of £18.1bn in 2022

Value-led strategies, sustainability, innovation, and digitalisation have been some of the key growth drivers highlighted by Lumina Intelligence’s Restaurant Market Report 2022, an overview of the UK restaurant market landscape in the UK, including the size and breakdown of the market, market growth and market drivers and inhibitors to 2022.

Unrestricted trading: main market driver in 2022
While the cost of living crisis has severely impacted recovery in the restaurant market in 2022 with consumer penetration, frequency and spend all declining year-on-year, the UK Restaurant market is set to value £18.1 billion in 2022, 94% of its 2019 value – a growth of +£5.4 billion year-on-year.

Value will be a key focus over the next 18 months
Operators are expected to use a range of techniques to bolster value credentials including promotions, more sophisticated loyalty schemes and menu price management, with same-line dish price inflation at just +7.3% year-on-year.
Boosting quality-led messaging will justify higher price points. Tapping into a range of events including live music will align with the growing consumer value of being experience-led (+7% year-on-year). Events are expected to be a fruitful way of demonstrating added-value.

Future prospects improve for brands in 2022
Branded restaurants are forecast to see outlet growth of +2.3% in 2022, led by expansion from brands including Nando’s, Slim Chicken’s and Franco Manca, an uptick unseen since 2017.

Brands are prioritising sustainability, innovation, and digitalisation with initial trials of robots in front of house, regenerative farming efforts as well as a sustained focus on multiple revenue streams including delivery and omnichannel trading.

The industry analysis focused on Market sizing, competitive landscape, consumer insight, product & price, via a thorough research of the UK market, and the examination of leading brands, as well as the forecasts for market growth for 2022F-2025F, together with our view on the future drivers and inhibitors. Lumina’s Eating and Drinking Out Panel and Menu Tracker tools were key contributors to the Report’s data delivery.