Britain’s top hospitality groups achieved year-on-year growth of 1.5% in July 2024, down from June’s rate of 2.9%, the latest CGA RSM Hospitality Business Tracker reveals.
As July started with the peak of the 2024 Euro’s, including the quarter, semi-final and final games, Britain’s Pubs enjoyed a more positive outcome from the tournament than the England team, experiencing like-for-like growth of 4.9%. The best performing segment in July, and the heart of England’s Euro’s support, Pubs within the M25 performed especially well with 9.9% like-for-like growth.
It was a slightly more negative picture for other segments as consumers shifted their spend towards pubs. Restaurant performance saw steep declines, dropping from +4.7% in June, to –2.1%. Bars had another negative month, down by -6.0%. The on-the-go segment saw like-for-like growth of +1.5%.
Karl Chessell, director – hospitality operators and food, EMEA at CGA by NIQ, said:
“With most positive growth being seen in the pub sector in July, this had a knock-on effect to other hospitality venues as they saw like-for-like drops in performance. For hospitality as a whole, this isn’t necessarily a negative thing. The uplifts seen based on key events within the month show that whilst the cost-of-living pressures are still ongoing, consumers are still making those all-important visits to hospitality venues. As we move into the back end of Summer, with warmer weather, and an upcoming Bank Holiday at the end of the month – we hope to see growth spread more equally across key segments.”
Saxon Moseley, head of leisure and hospitality at RSM UK, said:
“Much like the Euro 2024 final, there were winners and losers in July’s results. While pubs reaped the benefits of a sports-fuelled July, restaurants and bars saw negative like-for-like sales, with some operators even closing early due to cancelled bookings and reduced demand. With disposable incomes still recovering from the cost-of-living crisis, these results do demonstrate that there is only so much set aside for leisure spending, underscoring the intense competition for customers across different segments of the market. Well run businesses with differentiated offerings and flawless experiences will continue to do well as real wages rise and confidence returns in the second half of the year.”
