Pub-Goers Tighten Their Wallets As Consumer Confidence Drops

The SLTA (Scottish Licensed Trade Association) has released the results of a flash survey, highlighting a fresh wave of challenges in the sector as consumers tighten their wallets and costs continue to escalate.

In addition to the group’s traditional in-depth Summer and Winter Business Insight surveys, a flash survey was conducted over the Easter holidays with responses representing over 150 pubs, bars, restaurants, and hotels, covering all areas of Scotland.

Colin Wilkinson, SLTA managing director, said: “Our additional survey was conducted in response to growing concerns from within our membership about global economic conditions and geopolitical uncertainties and the impact these are having in our sector on top of the ‘homegrown’ challenges we are currently facing.

“To be blunt, this is simply unsustainable as operators are being hit by a double whammy of growing costs, particularly fuel and energy, and a decline in consumer confidence as households tighten their wallets.”

In the SLTA’s Winter Business Insight survey, conducted in January 2026, 58% of respondents predicted a business decline this year – but the flash survey has revealed that the current drop is 64%, highlighting a deeply troubling trend for the sector and tourism overall.

Also in the 2026 Winter Business Insight survey, 86% of respondents did not think the economic policies of the Scottish Government were aligned to business growth.

As Scotland prepares for the Holyrood election on May 7, the SLTA implores all political parties to put economic support and recovery at the heart of their policies going forward.

Mr Wilkinson said: “The licensed hospitality industry is a major part of Scotland’s tourism sector and a significant employer, especially for younger individuals. The sector is an integral part of Scotland’s culture and history and, in many cases, serves as a crucial social centre, boosting community inclusion, reducing isolation, and supports mental health.

“Politicians can no longer ignore the broad economic and social value of the licensed hospitality sector. In the lead-up to the Scottish election our politicians continue to ‘talk the talk’ for the overall Scottish hospitality sector. Come May, they need to ‘walk the walk’.”

Executive summary of key insights:

• 71% of outlets report they are seeing customer’s confidence declining

• Global economic challenges are having a major impact on the licensed hospitality sector with 64% of outlets in decline versus last year

• 85% of outlets are seeing an increase in fuel and energy costs