Manchester secret bar concept looking to open first franchise location next year ahead of expansion to ‘major cities’ in UK and overseas: Manchester hidden bar concept Washhouse is looking to open its first franchise location next year ahead of expansion to “major cities” in the UK and overseas, Propel has learned. Launched by Patrick Hall and Jon Charles in 2015, The Washhouse, at 19 Shudehill in Manchester, presents as a regular launderette, with a dryer and vending machines concealing the entrance to a hidden cocktail bar that has been number one in the city on TripAdvisor since 2017. The duo, who have also operated The Laundrette restaurant in Chorlton-cum-Hardy since 2013, are now seeking experienced franchisees capable of expanding into large metropolitan area to help roll out more Washhouses. “We’re looking for a first franchise site opening in 2024,” Paul Hunter, franchise operations consultant at Seeds Consulting, told Propel. “We’re looking at major cities in the UK and key capital cities in Europe and the Middle East – places with a cool vibe like Amsterdam and Berlin. We don’t want more than one in any given city as it would devalue the concept and detract from its secret appeal. But we are starting to market it, having conversations, and there’s a lot of interest.” Hunter said in keeping with the “hidden bar” concept, Washhouse works on word of mouth, does not advertise and guests must book in advance. “We loved the concept as soon as we saw it,” he added. “You don’t need a high street location, so there are great lease opportunities. The bar operates without food so the returns are fantastic, and the team instead focuses on producing phenomenal industry leading cocktails. Additional highlights include DJs playing in the toilets, a hidden slide and a cocktail that will land you in handcuffs. There’s a gap between experiential and premium that Washhouse fits into nicely.” Ideal venues would be a minimum size of approximately 250 square metres, or space for 150-plus covers, with multiple front of house rooms, in urban nightlife areas. The Washhouse will feature in the next Propel UK Food and Beverage Franchisor Database, which is an exhaustive guide to the companies offering a food and beverage franchise in the UK and is available exclusively to Premium subscribers. The database is updated every two months and the latest version features 215 businesses. 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.

 

Sponsored message – HGEM launches insight consultancy service Insight Lab: Guest experience management platform HGEM has launched Insight Lab – a new insight consultancy service for HGEM customers who wish to dig deeper into their guest experience data with custom analysis or reporting templates. HGEM said it would be particularly useful for operators who haven’t got enough time to spare for a deep dive into analysis. HGEM managing director Steven Pike said: “We know that one size does not fit all and that many operators have limited insight resource. So, we’re delighted to launch Insight Lab to address that need and provide a personalised service to those looking to get more impact or meaning from our reports.” Insight Lab accompanies HGEM core solutions: mystery guest audits, guest and employee feedback surveys, review management and dish ratings, “together providing a 360 degree view of customer touchpoints” and helping drive business “through getting more customers, improving guest satisfaction and increasing average spend”. To find out more about HGEM, click here. If you have a sponsored message you would like to see featured in this newsletter position, email paul.charity@propelinfo.com.

 

Next Propel Turnover & Profits Blue Book shows sector companies’ profit outstripping losses by £1.82bn, up from £1.48bn last month: The next edition of the Propel Turnover & Profits Blue Book, which will be sent to Premium subscribers on Friday (10 November), shows the profit being made by sector companies is now outstripping losses by £1.82bn. The Blue Book shows the total profit of the 789 companies in the list is £3,754,189,462 and losses are £1,935,831,027. Last month, the Blue Book showed sector companies’ profit outstripping losses by £1.48bn. 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. Meanwhile, 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.

 

Hospitality sales see first decline since March: The latest figures for October reveal the industry experienced a 1.4% decrease in sales overall, compared to the same period last year, according to data from people, productivity and payroll system, S4labour. This decline was driven by sites outside of London, with sales dropping by 2.5%, while London saw a moderate increase of 3%. October also marks the first time since March that overall sales have been down. S4labour’s chief growth officer, Richard Hartley, said: “As we begin the run up to Christmas, this downward trend is not what we would have hoped for, especially considering last month’s staggering 9.6% growth. Only two out of the ten months so far this year have seen a decline, so we are optimistic that as celebrations begin over November and December, we will start to see some positive figures again.”

Contract caterers’ third-quarter sales climb 15% year-on-year, but growth slows: Contract caterers’ sales in the third quarter of 2023 were 15% ahead of the same period in 2022, the latest Contract Catering Tracker from CGA by NIQ and Bidfood reveals. It continues catering’s strong recovery from the covid-19 pandemic. However, it marks a slowing of growth from the year-on-year figures of 30% and 18% in the first two quarters of this year. Comparisons also softened in the private sector, from 20% growth in the second quarter to 13% in the third. The number of outlets served by contract caterers slipped by 4% and remains well below pre-covid levels. Karl Chessell, director – hospitality operators and food, EMEA at CGA by NIQ, said: “After the disruption of lockdowns and a drawn-out return of staff to workplaces, contract caterers’ trading is settling down into new post-covid patterns. While the third quarter saw a slowdown in growth and a small drop in venues, underlying demand for contract caterers’ services in both the private and sector remains strong. However, with high inflation still impacting both businesses and consumers, trading conditions are likely to remain challenging well into 2024.” Debra Morrell, business development controller for business and industry at Bidfood, added: “The resurgence we’ve seen in September is welcome news, after a more challenging August period, and follows the underlying positive direction the sector has been taking in getting closer to ‘business as usual’ pre-pandemic levels. Although the pace of growth year-on-year is slowing, growth is still growth and we are heartened to see it continue, despite the tightening of consumer purse strings and trading conditions.”

 

BBPA – UK has 30,000 fewer pubs since last King’s Speech, calls for further support for ‘British cultural institution’: The British Beer & Pub Association (BBPA) has said there are 30,000 fewer pubs since the last King’s Speech 72 years ago and has called for further support for this “British cultural institution”. Since 1951, when there was around 75,000 pubs, there has been a 39% drop in the number, the trade body said. The last ten years in particular have been a 15% drop in pub numbers, with hundreds closing every year, and by the time the King celebrates his tenth anniversary on the throne, we could see, on current projections, another 18% plummet by 2033. The BBPA is therefore calling for the government to extend small business rate relief and rule out any further increases in beer duty. BBPA chief executive Emma McClarkin said: “Despite the decline in their numbers since the last King’s Speech, pubs remain right at the heart of communities across the UK, often acting as the only remaining hub for groups or individuals of any creed, any background looking to come together, bond and relax. The government has a golden opportunity with this King’s Speech to give a vital affirmation of the role of those pubs in local communities and economies by providing further investment to ensure the enduring survival and success of this great British institution.”

 

Revolution Bars Group strengthens commitment to suicide prevention: Revolution Bars Group, the operator of the Revolution, Revolución de Cuba and Peach Pubs brands, has said it has become the first organisation within the hospitality industry to install R;pple across all its internal computer networks, strengthening its commitment to suicide prevention. All of the company’s staff accounts and computers using the organisation’s internal Wi-Fi network are protected by the R;pple tool, which automatically and discreetly intercepts content from harmful searches relating to self-harm and suicide. Upon searching for harmful content online, the user will be presented with R;pple’s simple and calming screen, where they will be signposted to support and provided with mental health resources. R;pple’s innovative technology anonymises user searches and does not see, share, or save histories or any identifiable personal data. Danielle James, head of pay and reward at Revolution Bars Group, said: “If we manage to intercept just one of the 1.2 million monthly harmful online searches to deliver a message of hope and support to a vulnerable or distressed individual, then this will prove to be an invaluable safeguarding intervention.” R;pple Suicide Prevention Charity was founded by Alice Hendy after losing her sibling, Josh, to suicide at 21 years old. Currently, 47 countries access R;pple worldwide, and 18,000 searches have so far been intercepted, with the charity having won 27 awards in mental health and innovation to date. Beth Anderson, people director at Revolution Bars Group, said: “We are extremely grateful to R;pple for working with us so closely to ensure we are leading the implementation of this within the sector and hope that it encourages other businesses to do the same.”

 

Job of the day: COREcruitment is working with a growing bar and immersive entertainment concept that is looking for an openings manager. A COREcruitment spokesperson said: “The company has an aggressive expansion plan in place with its tenth site in the making and more planned. The group is looking for a strong manager to lead and develop the new openings. You must have a wealth of opening experience and be extra focused on learning and development and training. This is also a field-based role, so you must have a driving licence and be open to national travel. Someone from a branded background who has a great pedigree would do very well here.” The salary is up to £55,000 and the position is based in London. For more information, email kate@corecruitment.com 

 

RBI – Popeyes UK sales edge toward $40m: Restaurants Brand International has said that system-wide sales across its Popeyes UK business reached $39m (£31.4m) in the year to 30 June 2023. In a presentation on its brands – which include Burger King, Tim Hortons, Popeyes Louisiana Kitchen and Firehouse Subs – the company said Popeyes in the UK had generated those sales from 26 sites, ranking it fifth among its international markets. The US fried chicken quick-service restaurant brand, which is backed in the UK by TDR Capital, currently operates 28 sites in the UK, including eight delivery kitchens. It also has openings lined up in Lewisham and Wembley. In September, Tom Crowley, UK chief executive of Popeyes, said TDR Capital’s recent £50m investment in the circa business has put it in “good shape” for further growth, with a target of opening 20-plus sites a year. Crowley told September’s Propel Multi-Club Conference the brand will have 35 sites in the UK by the end of 2023 and could reach 60 by the end of next year. When it launched in Britain in November 2021, the business put down an initial target of having 350 UK sites within ten years. 

 

BrewDog cites “rampant inflation” and “soaring utility costs” for Hawkes closure: Scottish brewer and bar operator BrewDog has closed its Hawkes cidery and taproom in London’s Bermondsey, blaming “rampant inflation” and “soaring inflation” for the decision. BrewDog invested in Hawkes, which was founded by Simon Wright in 2013, in April 2018. Wright stepped down from the business in October. A spokesperson for BrewDog told Propel: “As with all UK businesses in recent times, Hawkes has been battling rampant inflation, soaring utilities costs and relentless cost of living pressures. Unfortunately, the slowdown in trade on the Bermondsey beer mile, combined with exorbitant rent increases, has meant we have had to permanently close the much-loved Hawkes tap room. This also meant we ceased production on the site, but little else has changed for Hawkes Cider; it remains steadfastly part of the BrewDog family, and will continue to be available in BrewDog bars, across the on-trade and online, and we are working with a partner for production who we’ve built a strong relationship with over the past few years. We hope to relaunch a cider-focused venue at another location in the city in the future, but in the meantime, you can find it in all the usual places.”

 

Glenshire Group acquires 16-strong Pizza Hut sites: Glenshire Group, the Scottish family-owned business, has acquired 16 Pizza Hut delivery sites. The acquisition comes soon after the business, which operates the 21-strong Greens Retail convenience store chain, launched its first Pizza Hut franchise in Kirkcaldy. The company, which is led by Harris Aslam, said it had integrated the new sites into its existing convenience retail business. With the operation of the Greens Retail convenience stores and frozen drinks brand Skwishee, Glenshire Group said it had found “significant synergies between its various ventures and Pizza Hut”. Aslam, group managing director, said: “There are significant synergies between our existing convenience retail business and Pizza Hut which has allowed for seamless integration. We now have a group strength of 700-plus colleagues and are on a mission to deliver our shared values of putting our customers and our people at the heart of everything we do.” On the Kirkcaldy opening, he said: “We brought Pizza Hut back to the town after a ten-year hiatus, and the response so far has been phenomenal. Customers from a considerable radius queued up for hours on launch, and we’ve seen a steady flow of trade since – we knew very quickly that we wanted to ramp up the operation and expand.” Nicolas Burquier, managing director of Pizza Hut Europe, said: “We are extremely excited by our partnership with our new franchisee, Glenshire Group, and value the opportunities this brings to local communities, as well as the continued investment in the brand our fans know and love. “Our business thrives on strong partnerships with our franchisees, and Glenshire Group has a wealth of experience in convenience retail and operating food service. As we approach the 50th anniversary of Pizza Hut in the UK, I’m grateful for the incredible work of each of our franchisees and all of our team members, who have helped us continue to grow following the pandemic and throughout the cost-of-living crisis.”

  

London bagel concept set to open fourth store before doubling estate over next six months: London bagel concept B Bagel is set to open its fourth store before doubling its estate over the next six months. The company, which currently has sites in Tottenham Court Road, Soho and Fulham Road, will open at 136-138 Camden High Street on Thursday, 23 November. It then plans to open a further four sites in the next six months. The 1,750 square-foot Camden site will offer 26 covers and cater for takeaway, with delivery via Deliveroo. It can also cater for meetings, corporate events and parties across the city. B Bagel uses a traditional family recipe that results in its bagels being crispy on the outside and chewy and doughy on the inside. Priced from £3.50, fillings include sabich filled with houmous, boiled egg and grilled aubergine; and chicken schnitzel with lettuce, tomato, mayo and sliced pickle. Sweet bagels, salads, smoothies and fresh juice will also be available, alongside iced coffee, hot drinks and an assortment of bread and pastries. Co-founder Yoav Baumgarten said: “Bagels are experiencing a resurgence, particularly in the capital, so this is a great time for us to be ramping up our expansion plans. We’re incredibly excited to opening in Camden and have a strong pipeline of sites across the capital to help us achieve our ambition of growing to eight sites over the next six months.”

 

Market Taverns reports trading back to strong levels following covid as it returns to profit: Market Taverns, the privately owned pub company operating pubs across London, has reported trading has returned to strong levels following the covid pandemic. It comes as the group reported turnover increased to a record £10,007,327 for the year ending 30 September 2022 compared with £3,736,479 the previous year as it concentrated on rebuilding its trade following the pandemic. The business made a pre-tax profit of £741,641 compared with a loss of £862,728 the year before. Gross profit margin increased to 73% from 71% the year before. In their report accompanying the accounts, the directors stated: “During the pandemic, and in contrast to most of our competitors, Market Taverns expanded. The company and its directors have spent this financial year preparing for the return of ‘normal business’ and integrating the four new acquisitions that joined the group in May 2020 – The Sporting Page in Chelsea, The Queens Head in Holborn, The Lots Road Pub & Dining Room in Chelsea and The Prince Of Wales in Putney – but have been unable to trade fully until halfway through this financial year. Shortages in skilled labour led to some reduced hours or days of trading, in some sites throughout the year. Trading has been especially good in some of the company’s sites and strong levels of trade have returned to the estate as a whole.” In July 2023, the business secured its latest site, in Putney Village, with the acquisition of The Spencer for its 13th venue. The business received government grants of £70,094 (2021: £1,231,384). No dividend was paid (2021: nil).

 

The Real Greek plans Liverpool opening: The Real Greek, the Fulham Shore-owned brand, is set to open a restaurant in Liverpool, on a former Byron site. The Real Greek, which currently operates 26 restaurants across the UK, is set to take on the ex-Byron in the city’s Paradise Street. Byron recently moved to the former Bill’s site in Liverpool ONE. As previously revealed by Propel, The Real Greek will open a site on the opposite corner to Tasty brand Wildwood at the Freeport Outlet Village in Braintree. At the same time, The Real Greek is set to take on the former Handmade Burger Co site in the Oasis dining quarter of Meadowhall shopping centre, in Sheffield. Fulham Shore, the Toridoll and Capdesia-backed business, is also set to move its The Real Greek site at Westfield Stratford near the end of this year/start of 2024, to a new site “two doors nearer the shopping centre”.

 

Italian restaurant and fast-casual brand makes UK debut, eyes further sites: Italian restaurant and fast-casual brand Indigno has made its UK debut, in London’s Shoreditch, and is eyeing further sites. The venue, at 104 Brick Lane, is the brand’s first overseas site, having seen strong growth across its three locations in Bologna since the company’s formation in 2019. The brand specialises in the crescentina – fried dough filled with high-quality and fresh Italian ingredients. Co-founded by Andrea Liotta and Edoardo Malvincini and later joined by Marco Liotta, it has seen its turnover grow 187% between 2021 and 2022. Liotta said: “We’re so pleased with the initial launch phase of our Brick Lane venue, and I’d like to thank everyone who has helped make it possible, including our local community of neighbouring businesses, residents and the everyday work crowd and tourists who have all set foot in our venue already. We have been thrilled to show them what Indegno is about – hanging out with friends, sharing laughs, with excellent, honest and the tastiest food you can find from the heart of Italy. This is our first UK store launch but watch this space for more from Indegno as we have ambitious plans to expand our beloved crescentina, cappellacci and tortellini cones further into the UK.”

 

Fast-growing Kent bakery launches £225,000 fundraise to open more stores and add pop-up events business: Fast-growing Kent bakery Cheran’s Bakery has launched a £225,000 fundraise to help open more stores and add a pop-up events business. The company was founded in March 2022 by Cheran Friedman, and within a year had opened stores in Sittingbourne (including a bakery), Canterbury and Rochester. It has since opened two more shops, in Faversham and Maidstone, with a sixth on its way, and moved its production to a larger premises. It has generated £900,000 in revenue in 2023 alone, and £1.2m since launch, and seen a more than 500% increase in like-for-like revenue from the second quarter of 2022 to the same period in 2023. The company has launched the fundraise on crowdfunding platform Seedrs and has so far raised £178,000 from almost 60 investors. It is offering equity of 6.97%, giving it a pre-money valuation of £3m. “Cheran’s Bakery hand make the most indulgent and creative sweet treats, that are beautifully presented in sold exclusively through our growing chain of five, soon to be six, beautiful shops,” the business said. “Each also offers delivery via Just Eat, Deliveroo and Uber. We bake every day to deliver the freshest and most luxurious experience to our customers. Corporate gifting has recently begun, whereby we offer clients a bespoke service of brownies or cookies, along with client brochures or other contact information, to send on their behalf to customers. Spring 2024 will see us launch our events and pop-up division. With a full year of sales history, we are better able to refine our opening times to better control costs going forwards. All funds will be used to grow brand exposure on our goal to generate greater revenues – £75,000 will bring forwards each additional shop in the pipeline, and any over funding will bring additional shops, and £100,000 will help expand the brand's reach with the launch of pop-up events. A £50,000 marketing budget will put Cheran’s birthday cakes and online treats in many more of the 60 million-plus mouths in the UK.”

 

German fitness brand to make UK debut with Merry Hill opening: German fitness brand Xtrafit is to make its UK debut. The operator is opening at the Merry Hill shopping centre next summer after agreeing a deal with landlord Sovereign Centros. Xtrafit will occupy 40,000 square feet of the former Debenhams first floor. A range of courses will also be on offer, both for large and boutique style classes, including strength, dance, yoga, boxing and cycling, held in multiple state-of-the-art studios. Opening 24 hours a day, Xtrafit will also allow members access to wellness facilities including saunas and massage chairs. Laurence Benson, chief executive of Xtrafit, said: “We are dedicated to creating motivated communities that believe in empowerment, inclusivity and the pursuit of a healthier lifestyle. Our Merry Hill opening will be the first step in our exciting UK mission: to better the health and wellness of everybody by building high-quality athletic environments at an accessible price-point.” JLL and Time Retail Partners represent Merry Hill. Rob Howarth, of Leisure Division, acted on behalf of Xtrafit.

 

PizzaExpress expands retail range with frozen offering: PizzaExpress has expanded its retail offering with a new frozen range of pizza, pasta and garlic bread. It comes at a time when the British Frozen Food Federation has revealed two in five consumers are buying more frozen food than 12 months ago. PizzaExpress said retail already forms a substantial part of its business and its sales value is circa £110m. The new range, launching in Tesco, consists of the Margherita Speciale, the American Speciale, the Padana and the Pollo BBQ, plus lasagna, spinach and ricotta cannelloni, pollo forza pasta, spaghetti meatballs and garlic bread with mozzarella. PizzaExpress’ retail director Rich Mils said: “Our frozen range is backed by more than 20 years of experience in offering customers restaurant quality chilled pizzas, and this new range allows us to enter the frozen category, where we know our customers are purchasing for convenience and different meal occasions to that of chilled.”

 

Aspers secures new £5m funding facility and immediately draws it down, returns to profit as attendance levels ‘encouraging’: Casino business Aspers has secured a new £5m funding facility and immediately drawn it down. It comes after the business – which operates casinos in London’s Westfield Stratford, Northampton, Milton Keynes and Newcastle – returned to profit in the year ended 30 June 2022 and reported “encouraging” attendance levels. “On 5 September 2023, the group entered into a loan agreement of £5m with Crown Entertainment Group and Investec Bank,” the business said. “This was drawn down on 7 September 2023. The loan bears capitalised interest at 20% per annum and is due for repayment on 9 June 2028.” The group also agreed an amendment to the six-year £40m loan and £7m revolving credit facility it agreed with its lenders in 2021, and which is also fully drawn, with total borrowings amounting to £41.4m. The new agreement waived existing covenants until 30 September 2025 and introduced new minimum liquidity and Ebitda covenants. It has also, post year end, agreed the termination of a lease for London office space, with rent set at £94,500 per annum. The business turned a £16,190,000 pre-tax loss in 2021 into a profit of £2,640,000 in 2022. Turnover rose from £13,412,000 to £63,698,000 while Ebitda was up from a loss of £8,964,000 to a profit of £8,209,000. This compares with a pre-tax profit of £11,115,000 and turnover of £93,832,000 in pre-covid 2019. The 2022 figure came from £62,812,000 in land-based revenues (2021: £12,717,000) and £866,000 in online revenues (2021: £695,000). It received £687,000 in government grants compared with £8,877,000 in 2021. It also benefited from £1,413,000 in covid-19 rental relief (2021: £199,000) and £1,832,000 in historical VAT claims (2021: nil) but made an impairment of assets loss of £2,056,000 (2021: nil). “Group performance in the year returned to 67% of pre-pandemic levels, underpinned by the performance of its core customer group,” director Richard Noble said. “Attendance levels encouragingly show an upward trend, indicating the leisure player is returning to the business. The focus of the activities of the group will remain the Stratford casino. Growth continues to be challenging in all the land-based casinos. The proposals published in the government’s white paper in April 2023 will undoubtedly provide both challenges and opportunities for the group going forwards.”

 

Tortilla to open site at Manchester Arndale: Tortilla, the UK’s largest fast-casual Mexican restaurant brand, is to open a site at the Manchester Arndale. Tortilla has agreed a deal for a 1,737 square-foot unit on a ten-year lease. Last month, Tortilla said it expected to open a further three sites in the second half of its current financial year, taking the total to eight new sites in the year as it continues to deliver its stated roll-out plans. M&G Real Estate and Global Mutual act as joint asset managers of Manchester Arndale while Metis Real Estate and Time Retail Partners are the centre’s retained letting agents.

 

Subway franchisee reports turnover boost but still below pre-covid levels, repays £1.5m CBILS: Subway franchisee Made to Order, which operates stores in the Greater Manchester and West Yorkshire area, has reported turnover increased 17% to £10,631,006 for the year ending 27 December 2022 compared with £9,074,240 the previous year. Revenue remained below the £13,916,934 for the year ending 31 December 2019 – the last full year before the covid pandemic. Pre-tax profit was down to £689,918 from £1,107,708 the year before (2019: profit of £285,121). Gross profit increased to 38% from 36% due to “tactical” price increases while the company repaid the £1.5m it borrowed under the Coronavirus Business Interruption Loan Scheme (CBILS). In their report accompanying the accounts, the directors stated: “The turnover growth was driven by positive like-for-like sales driven by price increases and to a lesser extent traffic. Sales and traffic were broadly consistent year on year across the digital channel, which continues to lift the average spend. The main business overheads, namely food and labour, continued to increase at pace across the year as anticipated. The large increase in administrative overheads versus 2021 was driven in the main by three items. Firstly, rents returning more closely to pre-covid levels as closure reliefs reduced, a taper off of business rates support as well as a non-recurring £364,000 profit on store disposal included in 2021. Offsetting some of this increase was the first tranche of the covid related business interruption insurance claim as well as a successful outcome to a professional negligence claim the company brought against former advisors relating to VAT advice. These amounted to £786,000. In addition, a 40% increase was seen in utility costs to £313,000 versus prior year. In the balance sheet, the main movement was the repayment in full of the £1.5m CBILS, taken out in 2020. Further the £365,000 balance of historic VAT liability was paid off in full.” The business received government grants of £75,689 (2021: £732,479). A dividend of £1,250,000 was paid (2021: nil).

 

Former footballer loses £782,000 following failure of restaurant business with latest venue £1.1m in debt: A former Premier League footballer has reportedly lost £782,000 following the failure of his restaurant business. The Sun reports that Danny Drinkwater, who won the Premier League title with Leicester in 2016 and was capped three times by England, was told of the loss by liquidators. The player opened a Manchester-based restaurant called FoodWell in 2018 but, after racking up £2m in debt, it went bust last year. That didn’t put Drinkwater off trying his luck with another eatery, purchasing 70% of restaurant business Firefly. However, Drinkwater’s latest restaurant business is currently £1.1m in debt, the newspaper said. The former midfielder announced his retirement from professional football last week at the age of 33. 

 

Buzzworks launches ‘Autumn Fork Out Less’ deals: Scottish independent restaurant and bar operator Buzzworks Holdings has launched a range of “Autumn Fork Out Less” offers. It said the deals will give customers the chance to dine out for breakfast for under £5, lunch for under £10 and have two courses for dinner for under £15. Managing director Kenny Blair said: “We’re delighted to introduce our Autumn Fork Out Less offers and menus, designed to provide exceptional value without compromising on quality or taste. Many of our guests are looking for affordable dining options as a result of the cost-of-living crisis, and these offers allow them to enjoy a memorable meal at an accessible price point, especially in the lead up to Christmas.” The offers are available at all participating venues (excluding The Fox in Troon and Herringbone) until Thursday, 14 December.

 

Scottish pizza brand targeting Birmingham and Manchester for next franchise openings: Scottish pizza brand Boss Pizza is targeting Birmingham and Manchester for its next franchise openings. Boss Pizza was founded as a lockdown project by chef Ajmal Mushtaq when he had to close his Indian restaurant, Mushtaqs in Hamilton, which has what it claims to be the biggest takeaway kitchen in the UK. Mushtaq has since put the restaurant up for sale to focus on his new pizza business, which has two sites in Scotland and is in the process of opening two London stores – in Acton and Hammersmith. Mushtaq, who told Propel earlier this year he is targeting 100 sites by 2026, plans to then move the concept to two of England’s other major cities. “Boss Pizza expansion plans: Instead of clustering stores in one area, open stores in each of the major cities first, this gives you immediate national presence,” he said. “With two stores opening soon in London, our focus now is Birmingham and Manchester. Having targeted campaigns for each region is an excellent way of measuring marketing return on investment. This is an exciting time for this brand and we have some really big developments in the pipeline.”

 

200 Degrees to open second Liverpool site this weekend: Coffee roaster and retailer 200 Degrees, which is backed by Foresight, will open its second Liverpool site this weekend. As previously reported, the shop in Bold Street will be the third opening since April and 21st overall. The site at 17-19 Bold Street, on the ground floor below Indian street food and craft beer concept Bundobust, will launch on Saturday (11 November). Founded in 2012 by Rob Darby and Tom Vincent, 200 Degrees has expanded its footprint across the Midlands and north of England. The company’s other site in Liverpool – in the Met Quarter – opened in July 2019.

 

Slim’s Healthy Kitchen owner launches new ‘milestone’ retail range: Slim’s Healthy Kitchen owner Gary McIldowney has launched a new “milestone” retail range. Earlier this year, McIldowney’s Follow Leisure Group secured a £500,000 retail deal which saw its range of prepared meals rolled out across the Musgrave network in Northern Ireland, with more 50 stores currently carrying the lines. It has now secured a deal with The Henderson Group, which operates more than 400 stores in the country. “Today is another huge milestone for our small family run business,” McIldowney said. “Slim’s started as an idea cooked up in my home kitchen ten years ago, but the original idea of a coffee shop offering healthy alternatives has now turned into so much more, including three years ago, the creation of a Slim’s Healthy Kitchen ready meal line. Today sees the beginning of a new partnership with the The Henderson Group as we launch into 400-plus stores across Northern Ireland in Spar, Eurospar, Vivo and Vivoxtra. I’m incredibly proud of the entire team and all of our partners past and present for what we have achieved to date.” Slim’s Healthy Kitchen, which was founded by McIldowney in 2013, operates two sites in Belfast, plus a franchised site in Magherafelt. McIldowney’s Follow Leisure Group also includes cafes Canteen, Output and Morning Martha, and last year acquired the four-strong Belfast coffee chain, District.

 

Hotel operator Axcel Group returns to profit as turnover more than doubles: Hotel operator Axcel Group, which operates 14 sites, has reported turnover increased 210% to £35,838,178 for the year ending 31 December 2022 compared with £17,037,461 the previous year. The business made a pre-tax profit of £9,048,399 compared with a loss of £371,558 the year before. The company received government grants of £6,000 (2021: nil). No dividend was paid (2021: nil).

 

Wagamama to reopen extended Aberdeen restaurant next month: Wagamama, the Restaurant Group-owned business, will reopen its Aberdeen restaurant next month following a refurbishment. Located in Union Square, the restaurant will gain an additional 80 covers and create 20 additional jobs when it reopens on Sunday, 3 December. It will offer Wagamama’s new Korean-inspired menu, including its first ever hot pots, featuring chicken, steak or tofu in a spicy broth with seasonal vegetables and tteokbokki. The menu also sees the introduction of the Korean street food favourite k-dogs, made with a vegan twist and a crunchy noodle crumb. Milly Pearson, regional marketing manager for the north, said: “We are excited to open the doors to our bigger and better restaurant in Aberdeen. Our fantastic team has been working hard to ensure we can bring our much-loved Wagamama experience to guests once works are complete.”

 

Yorkshire wedding and events business acquires hotel from Classic Lodges for second site: Yorkshire wedding and events business Wharfedale Group has acquired its second site. Owner Claire Thomas has operated Wharfedale Grange, a former farm located between Leeds and Harrogate that features a wedding barn, farmhouse accommodation and floristry shop, since 2018. She has now acquired Solberge Hall, a Georgian country house hotel and wedding venue in Northallerton, for an undisclosed sum. The 24-bedroom hotel is set in nine acres of woodland close and has been owned by Classic Lodges hotel group since 2015, reports Insider Media. The deal included the hotel, restaurant, facilities and grounds, and all 40 members of staff will be directly transferred to the new owner. The company will be renaming the hotel Wharfedale Country House following a refurbishment. Thomas said: “Solberge Hall fits perfectly into our growing hospitality portfolio. Our intention is to substantially enhance and upgrade the 200-year-old manor house hotel over the course of the next year and put it back on the map as Wharfedale Country House, an opulent hospitality destination specialising in luxury weddings and events.”

 

Inverness hotel reports most successful year as turnover passes £10m mark: Kingsmills Hotel in Inverness has reported its most successful year as turnover passed the £10m mark. Turnover rose from £6,989,915 in 2021 to £10,269,223 in the year to 31 December 2022 as pre-tax profit increased from £656,488 to £840,319. This compares to turnover of £9,558,576 and a profit of £1,134,050 in the last full year before covid, ending 31 December 2019. Director Alison Dufrense-MacGregor said: “The directors are pleased to report that revenue for the year exceeded that of 2019, which was the hotel’s most successful year. Revenue grew by £3.1m and is forecast to grow by a further 11 % in 2023 and continuing to grow in 2024. The hotel is still the market leader in Inverness, despite the addition of 190 rooms into the local market. Despite the impact of increased interest rates and energy cost and escalating employee costs the hotel continues to maintain net profitability.” The company received £17,500 in government grants compared to £703,510 in 2021. Originally built in 1785, the building has operated as a hotel since 1946 and has been operated independently by Tony Story since 2007. In that time, a multi-million-pound refurbishment has seen the addition of spa and banqueting facilities and luxury and family bedrooms. Sister property Ness Walk was also opened in the city in 2019. 

 

Anytime Fitness signs for Birmingham’s Paradise View development: Anytime Fitness, which operates almost 200 sites across the UK, is to open a venue at the Paradise View development in central Birmingham. The group will open in a 4,500 square-foot unit as part of the regeneration of the former Beneficial Building at Paradise Circus after agreeing a deal with landlord Topland. The redevelopment, set for completion later this year and opening in January, has involved Topland and partner CoLico Living converting the former office building into 159 build-to-rent apartments, supported by 8,000 square feet of retail and amenity space in addition to the Anytime Fitness gym. Daniel Penn, head of network development at Anytime Fitness UK, said: “We’re excited to be bringing an Anytime Fitness gym to Paradise View. As a franchised business, all our locations are independently owned and firmly embed themselves as a key part of the local community.”