More than half of sector companies to reduce investment and cut staff without business rates support: More than half of sector companies will reduce investment and cut staffing levels without business rates support, a new survey has revealed. The survey, conducted by the British Beer & Pub Association (BBPA), British Institute of Innkeeping (BII), Hospitality Ulster and UKHospitality, revealed government action on business rates is viewed as a top priority by 60% of respondents, up 16% from August. The survey also revealed business optimism has slumped to just 29%, down ten percentage points from the summer while 38% of hospitality venues are failing to make a profit. There has been an 18% rise in businesses noticing consumers purchasing fewer drinks when they go out, with 72% of respondents reporting the number of drinks purchased having decreased slightly (55%) or significantly (17%). Combined with energy bills being 60% higher year-on-year and record food and drink inflation, 55% of respondents said they had not raised menu prices by as much as their own cost increases. A joint spokesperson for the trade bodies said: “These figures lay bare the enormous impact inaction at the autumn statement would have on the hospitality sector. Pubs, restaurants, hotels, coffee shops, to name a few, will fall victim to a significant business rates bill, if relief expires and rates are hiked with inflation. Reducing investment and cutting staffing levels are the last thing venues want to do. In fact, they want to do the opposite, but their hands will be tied if rates increase to such an extent in April. Businesses are only able to absorb endless cost rises for so long and yet more pressure in the form of business rates will only force them to consider whether this is passed on to consumers. The government must extend the hospitality sector relief and freeze the business rates multiplier at the autumn statement, as well as take steps to reduce the overall tax burden on the sector in relation to business rates, VAT and excise duty. Our economy cannot grow if hospitality cannot grow. The government must act immediately to underpin this growth and ensure our pubs and hospitality venues survive.” The survey follows a joint letter written to chancellor Jeremy Hunt by the BBPA, the BII, Hospitality Ulster, UKHospitality and other trade bodies in October, urging the extension of business rates relief and a freeze in beer duty.

Next edition of Propel Turnover & Profits Blue Book shows 68% of companies in profit, up from 60% six months ago: The next Propel Turnover & Profits Blue Book, to be sent to Premium subscribers on Friday (10 November), shows 68% of the 789 largest sector companies are now in profit, up from 60% six months ago. The Blue Book shows 536 companies in profit and 253 reporting losses. The Blue Book is updated each month and ranks companies by turnover, profit and profit conversion, listing directors’ earnings for the past five years. For the first time, Propel group editor Mark Wingett has chosen the best videos from the Propel conferences in 2023, picking out a selection of talks and interviews that resonated with delegates from across the breadth of the hospitality sector. The 12 videos will be made available to Propel’s Premium subscribers at 9am on Friday, 24 November. Premium subscribers also receive access to five other databases: the Multi-Site Database, which is produced in association with Virgate; the New Openings Database; the UK Food and Beverage Franchisor Database; the Who’s Who of UK Food and Beverage; and the UK Food and Beverage Franchisee Database. Companies can now have an unlimited number of people receive access to Propel Premium for a year for £995 plus VAT – whether they are an operator or a supplier. The single subscription rate is £495 plus VAT for operators and £595 plus VAT for suppliers. Email kai.kirkman@propelinfo.com to upgrade your subscription. Premium subscribers are also being given exclusive access to the recording and slides to Propel Multi-Club Conferences. They also receive their morning newsletter 11 hours early, at 7pm the evening before; regular video content and regular exclusive columns from Mark Wingett.