Wed 23rd Oct 2024 - Sector sees sales rise 1.7% in September as restaurants lead the way Sector sees sales rise 1.7% in September as restaurants lead the way: Britain’s leading hospitality groups recorded year-on-year sales growth of 1.7% in September with restaurants leading the way, the latest edition of the CGA RSM Hospitality Business Tracker reveals. It means managed operators have achieved like-for-like increases in eight of the nine months of 2024. Following recent below-inflation growth – of 1.5% in July and 1.3% in August – industry growth has matched the inflationary rate of 1.7% in September. While this is a welcome improvement, those behind the tracker said it is a sign of the continuing challenges to real terms growth, as the sector enters the crucial final quarter of the year. Total sales growth in September – including new venues opened during the last 12 months – was healthier at 3.7%. The tracker – produced by CGA by NIQ in partnership with RSM UK – shows September was a solid month for restaurants, with like-for-like sales rising 3.2% – double the rate of 1.5% for managed pubs. Bars extended a sustained period of negative numbers with a drop of 3.8%, while the on-the-go segment achieved 4.3% growth. As was the case in August, trading in London was slightly softer than the rest of the country. Sales inside the M25 were 1.3% ahead of September 2023, while venues further afield achieved 1.9% growth. Karl Chessell, director – hospitality operators and food, EMEA at CGA by NIQ, said: “Against the comparative of a sunny start to autumn in 2023, September’s dismal weather made real-terms growth for hospitality groups challenging. Pubs faced a particularly difficult month, with the rain keeping people out of beer gardens and terraces – though it did at least drive some of them indoors to give restaurants a brighter time. While some positive economic indicators raise confidence for a brighter final quarter of 2024, hospitality continues to battle substantial headwinds, and the forthcoming Budget is an opportunity to give the sector the targeted support it deserves.”