Story of the Day:
Butcombe Group CEO – consolidation will come in the second half of the year, price increases will be restricted to an absolute minimum: Butcombe Group (formerly Liberation Group) chief executive Jonathan Lawson has told Propel he believes consolidation in the sector will come in the second half of the year, and the business intends to restrict price increases to an absolute minimum. He said: “There will be consolidation this year, but it will take a while to appear. People will be focusing on their own businesses for the next six months, but after the summer we should start to see something, and we will be watching the market closely. We have very good backing and we’re always looking at acquisitions – there’s no lack of ambition.” Lawson said with the forthcoming pinch points of increases in both the national minimum wage and employers’ national insurance contributions, “there is a real danger that that level of impact could lead to a battening down of the hatches”. He said: “The key for us is bigger pubs to drive average weekly sales. We want them to be open for breakfast, for lunch, for meetings, for events and so on. You can’t do that if you’re cutting back on people and cutting back on hours, so we’re looking to the longer term. We’ve divested of the right pubs and acquired some really good ones and invested with a view to making those pubs bigger.” Lawson said the business would be using “a combination of measures” to combat rising costs and that these have to be “very precise”. He said: “We won’t just pull the price lever. We will restrict any price increases to an absolute minimum as we have good sales momentum. Christmas was very good, with London strong and the country pubs doing really well, and the new year has started really well too, so we’re going into 2025 with a huge degree of confidence.” It comes after the business said an increase in customers ordering breakfast and brunch helped drive like-for-like sales up 7.8% for the year to 25 January 2025, including second half growth of 9.5%. For the year, food sales climbed 12%, while accommodation and drink grew by 4% and 5% respectively. The company said it recorded its highest week of managed sales in the Christmas week, and highest single day on Christmas Day, with like-for-like growth of 27%. The business also saw 38% growth in the number of events and meetings.
Industry News:
Sponsored message – Asahi UK announces two major wins: Asahi UK, the supplier of premium beer and cider, has won new listings with Urban Pubs & Bars and Odeon, as the two companies look to make more from the growth of premium brands. Asahi Super Dry is now available at 40 Urban Pubs & Bars sites across London, with venues such as The Victory in Waterloo, The Griffin in Shoreditch and The Exmouth Arms stocking the UK’s number-one Japanese premium lager. Meanwhile, Asahi UK is supporting Odeon, Europe’s largest cinema operator, in its strategy to encourage guests to stay longer in its bars by rolling out Peroni Nastro Azzurro, Asahi Super Dry, Peroni Nastro Azzurro 0.0% and Cornish Orchards bottles in 103 of its sites. Peroni Nastro Azzurro will be available on draught in 30 sites. An Odeon spokesperson said: “By rolling out Asahi UK products across our estate, we are equipping our Oscar’s bars with products that will give our guests an even more premium experience.” Rob Hobart, marketing director at Asahi UK, said: “We are increasingly seeing operators looking to drive their sales and profits with a winning range of premium beers and ciders. At Asahi UK, we are well-placed to capitalise on this demand.” To find out more about stocking Asahi UK products, click
here.
If you have a sponsored story you would like to see featured in this newsletter position, email paul.charity@propelinfo.com.
Wagamama CEO Thomas Heier to speak at first Propel Multi-Club Conference of 2025, open for bookings: Thomas Heier, chief executive of Wagamama, will be among the speakers at the first Propel Multi-Club Conference of 2025, which is open for bookings. Heier will talk about the evolution of the sector-leading brand, its relationship with consumers, including its loyalty scheme, and what levers it can still pull in respect of marketing, location and offer. The all-day conference takes place on Thursday, 20 March, at the Millennium Gloucester Hotel in London’s Kensington.
Operators can book up to three free places per company while Premium subscribers who are operators can book up to four free places. To book, email kai.kirkman@propelinfo.com.
Premium Club members to receive updated Multi-Site Database tomorrow, videos from Restaurant Marketer & Innovator on Friday, 7 February: Premium Club members are to receive the updated Multi-Site Database tomorrow (Friday, 31 January), at midday. The next Propel Multi-Site Database provides details of 3,313 multi-site operators and is searchable in seven main segments. The database features 968 (29%) operators from the casual dining sector, 790 (23%) pub and bar operators, 566 (17%) cafe bakery operators, 460 (14%) quick service restaurant (QSR) operators, 271 (8%) hotel operators, 209 (6%) experiential leisure operators and 55 (2%) fine dining operators. The database is updated each month, and this edition includes 33 new companies. New additions in the QSR sector include premium burger concept Native Burger, Domino’s franchisee Racz Group and Chick-fil-A, the US brand with plans to open in the UK. Premium Club members are to be given access to the entire recording of the 2025 Restaurant Marketer & Innovator European Summit Conference. Members will be sent 26 separate video presentations, featuring more than 60 speakers on Friday, 7 February, at 9am. Premium Club members also receive access to five additional databases:
the New Openings Database, the Turnover & Profits Blue Book, the UK Food and Beverage Franchisor Database, the UK Food and Beverage Franchisee Database and
the Who’s Who of UK Hospitality. All Premium Clubs members will be offered a 20% discount on tickets to Propel paid-for events including Excellence in Pub Retail (May 2025) and discounts on specialist sector reports such as the Propel 500. Operators that are Premium Club members are also able to send up to four members of staff to each of our four Multi-Club Conferences for free. Premium Club members receive their daily Propel Info newsletter 11 hours earlier than standard subscribers, at 7pm the evening before. They also receive videos of presentations at eight Propel conference events two weeks after they are held. This represents around 100 videos of industry insight over the course of the year. Premium Club members will be sent a dedicated monthly newsletter that will highlight key updates in the sector and direct subscribers to all the vital content their membership offers. Premium Club members also receive exclusive opinion columns every Friday at 5pm, which include the thoughts of Propel group editor Mark Wingett and a host of industry leaders from across the sector. A Premium Club subscription costs an annual sum of £495 plus VAT for operators and £595 plus VAT for suppliers. Companies can now have an unlimited number of people receive access to Premium Club for a year for £995 plus VAT – whether they are an operator or supplier.
Email kai.kirkman@propelinfo.com today to sign up.
UKHospitality urges chancellor to bring forward specific growth plan for sector: UKHospitality is urging the chancellor Rachel Reeves to bring forward a specific growth plan for the industry, and other sectors in the foundation economy, which can deliver growth swiftly. In a speech delivered in Oxfordshire, Reeves outlined a series of major infrastructure initiatives aimed at revitalising the UK’s economy. Central to her vision are the development of a “growth corridor” between Oxford and Cambridge, envisioned as Europe’s answer to Silicon Valley, and the long-debated expansion of Heathrow airport with a third runway. In response, Kate Nicholls, chief executive of UKHospitality, said: “Driving economic growth is rightly the government’s top priority, but we need to see a plan for growth that reaches the whole economy. Big infrastructure projects are much needed but the benefits won’t be realised for years or decades to come. In comparison, hospitality and the foundation economy can deliver growth now, if it is properly backed. Hospitality was the biggest driver of economic growth in November, demonstrating that we are already on the strongest growth path, despite the intense cost pressures our businesses face. We need a clear growth plan for the foundation economy, which can deliver change everywhere and for everyone, as one of the largest employers in the country. Backing hospitality is an investment in vibrant towns, cities and communities – an essential component of creating investment hotspots. That plan has to start with reassessing the changes to employers’ national insurance contributions, which hammer sectors like hospitality and will be the single biggest blocker to growth and investment. The chancellor recognised the power of businesses to drive growth, create jobs and generate new opportunities. My message is to back a sector like hospitality that can do that now.”
Restaurants’ at-home sales flatten in December as consumers go out to celebrate: Year-on-year growth in delivery and takeaway sales at Britain’s leading restaurant groups slowed to 1.9% in December 2024, CGA by NIQ’s latest Hospitality at Home Tracker shows. While at-home sales have now risen for 19 months in a row, the latest number is well short of November’s growth of 6.2% and marks the tracker’s lowest point since March last year. For the first time in 2024, it fell slightly below the UK’s general monthly rate of inflation of 2.4%, as measured by the consumer prices index. The tracker said December’s figure may reflect consumers’ shift towards going out rather than ordering in over Christmas, and that they were further encouraged out of the home by generally mild weather and the timing of festive holidays, which gave many consumers longer periods of time off work. A breakdown of the tracker indicates 2.2% like-for-like growth in delivery sales, while takeaway and click-and-collect revenue was flatter at 1.4%. Total delivery and takeaway sales, including from sites opened in the last 12 months, rose by 10.3%. Karl Chessell, CGA by NIQ’s director of hospitality operators and food EMEA, said: “After 11 months of real-terms growth for deliveries and takeaways, December’s slip below inflation was a disappointing end to 2024 for restaurant groups. But the flipside of the coin is that many consumers were confident enough to head out to celebrate rather than stay in. As more of their economic pressures ease, we can be cautiously optimistic about growth in both channels in 2025, but the mounting burden of costs for hospitality groups will put pressure on margins for some time to come.”
Sacha Lord resigns as night-time advisor for Greater Manchester: Sacha Lord has resigned as night-time advisor for Greater Manchester after seven years in the role. Mayor of Greater Manchester, Andy Burnham, said he accepted Lord’s resignation “with regret”, leaving the former co-owner of Warehouse Project, Parklife and self-styled champion of hospitality workers without a prominent role in the city’s nightlife for the first time since starting Warehouse Project back in 2006. It follows the conclusion of an investigation by Arts Council England into a company co-owned by Lord, Primary Event Solutions, whose application for the council’s Culture Recovery Fund back in 2021 was reported to have been misleading. Mayor of Greater Manchester Andy Burnham said: “Over the past seven years, as our night-time economy advisor, Sacha has been a brilliant and vocal champion for Greater Manchester’s night-time economy and cultural sectors during one of the industry’s most difficult periods in living memory. He has done all of this completely free and out of his own pocket, never taking or receiving any payment for this work. Sacha has accepted there were inaccuracies in a grant application, and I believe him when he says there was no intention to mislead and that he made no personal gain from the grant.” Lord said: “While we acknowledge the change in grant status, we appreciate that Arts Council England have found that there is no finding against the company that it deliberately misled the Arts Council in this application. I am incredibly proud of what we have achieved as a city-region - earning recognition as the ‘night-time capital of the UK’, ranking eighth in the World's Best Cities for Nightlife, surpassing global destinations like Budapest and Buenos Aires, and successfully introducing initiatives which will transform our nightlife for the better, such as 24-hour night buses. However, the emotional toll and experience over recent months has given me the opportunity to reflect and gradually step back from my role in Greater Manchester.”
Lidl wins High Court case over plans to open first bar: Supermarket company Lidl has won a High Court case over plans to open its first bar. A judge dismissed an appeal against the German retailer being granted a provisional licence for operating a bar within its store in Dundonald, just outside Belfast, The News Letter reported. Mr Justice Colton rejected claims by Philip Russell, which runs several off-licences in Northern Ireland, that Lidl had failed to show there are inadequate licensed premises in the vicinity. Recognising the uniqueness of transforming part of a supermarket into a bar, he said: “The fact that the application is a novel one is not a reason for refusing it.” In 2020, Lidl secured planning permission for a taproom on the premises in Dundonald. The proposed scheme involved reaching an agreement with the owners of a local bar to surrender that licence and spending £410,000 to fit out a new in-store bar alongside an off-sales area. Dismissing the appeal, Mr Justice Colton held that Lidl had made a bona fide application to operate the premises as a public on/off-licence.
Gambling Commission opens gaming machines consultation: The Gambling Commission has launched a consultation on proposed new rules for gaming machines in retail establishments. The consultation is focused on the commission’s gaming machine technical standards and related testing strategy and aims to improve consumer protection through a number of changes. These include the introduction of five new standards, a licence condition and a social responsibility code provision covering things such as time and monetary limit setting functionality, display of net position and session time, and safer gambling messaging on machines. Tim Miller, Gambling Commission executive director for research and policy, said: “The white paper sets out that a top priority is ensuring that gambling happens safely. We share this commitment and today’s consultation proposes how we could implement gaming machine changes in the land-based sector. We recognise that regulatory changes that impact the design of machines can come with considerable costs. We are encouraging consumers, gambling businesses and other interested groups to share evidence that will assist us in measuring both the likely regulatory impacts of the proposed changes and the likely costs of implementing them.” The consultation close on Tuesday, 20 May.
Next CEO lodges amendment to National Insurance bill: The chief executive of high street retailer Next, Lord Wolfson, has used his position in the House of Lords to table amendments aimed at phasing in the changes to employers’ national insurance contributions. The measures, announced in the Budget, will see employers’ national insurance contributions increase from 13.2% to 15%, and the secondary threshold at which employers begin to pay national insurance decline to £5,000 a year from £9,100 a year. Wolfson, who has been a Conservative peer since 2010, supported Baroness Noakes’s amendments to the bill. The proposed amendments have been introduced to enable “a phased introduction of the reductions to the secondary threshold” of national insurance. The bill is at the committee stage in the Lords and is due to take effect in April. Wolfson had previously called on the chancellor, Rachel Reeves, to stagger the increase in employers’ contributions following concerns over job losses. “I’ve got nothing against lowering the threshold for NI in principle, but the speed at which it is going to happen, the lack of consultation, that is the problem,” he told the BBC.
William Grant & Sons’ planned buyout of whisky brand Famous Grouse to be investigated by CMA: William Grant & Sons’ planned buyout of Famous Grouse, Naked Malt and affiliated whisky brands is to be investigated by the Competition and Markets Authority (CMA). Drinks business Edrington sold Famous Grouse, which was owned by its 1887 Company, to William Grant & Sons in September last year for an undisclosed sum. William Grant & Sons is owned by Scottish billionaire Glenn Gordon and produces whisky including The Balvenie, Glenfiddich as well as Hendrick’s gin. Edrington still owns the Macallan, Highland Park and Glenrothes brands. The CMA has begun a merger inquiry and will make a decision on whether to launch a formal investigation by Thursday, 27 March. Interested parties have until Wednesday, 12 February to send their comments to the competition watchdog. William Grant & Sons reported turnover of £1.96bn for the year ending 31 December 2023, up from the £1.72bn it achieved in 2022. Pre-tax profit jumped from £397.5m to £554m over the same period. As well as Glenfiddich and Hendricks gin, William Grant & Sons’ brands include Monkey Shoulder, Sailor Jerry and Drambuie. In the year to 31 March 2024, Edrington reported revenue of £1.33bn, up from £1.27bn, while its pre-tax profit increased from £405.1m to £406.9m.
Job of the day: Brewer and pub operator Hall & Woodhouse is seeking an exceptional regional manager. A spokesperson said: “With a fantastic programme of acquisitions, refurbishments and new-builds under way, applications are invited from established regional managers or multi-unit operations professionals with at least three years of recent experience in the role within the managed pub sector. They will be ready to take on full accountability for operations and delivering day-making hospitality through brand standards and building great teams in ten-plus premium businesses across Hampshire, Dorset, Sussex and Surrey, in a variety of food-led concepts. A Sunday Times best places to work, Hall & Woodhouse offer great rewards. Regional managers can expect: flexible working patterns fitting around life, salary up to £75,000 plus car allowance and bonus, a comprehensive package of lifestyle benefits covering health, pension and well-being, and long term job security in a strong progressive and inclusive business that values every individual and recognises commitment and talent.” For full details and to apply in confidence, click
here.
Company News:
Pret to make African debut next month, £1 in every £4 now spent by brand’s customers outside UK: Pret A Manger is to make its African debut next month. The company will open in South Africa, in Johannesburg’s Melrose Arch precinct, on Friday, 14 February. The opening, with franchise partner Millat Group, sees South Africa become Pret’s 20th international market. The move marks another significant milestone in Pret’s international expansion, with £1 in every £4 now spent by Pret customers outside of the UK. International expansion and new franchise partnerships have driven Pret’s recent sales growth after it reported worldwide system sales of £1.1bn in 2023, up 22% versus 2022. Pret’s Melrose Arch shop will offer a carefully curated menu that blends Pret classics with locally inspired items. Some South African-exclusive highlights include the Soutvleis Sandwich and the Braaibroodjie Toastie. Pano Christou, chief executive of Pret, said: “This opening is an important step in Pret’s global journey. South Africa’s dynamic food culture and vibrant community made Johannesburg the perfect location for our first shop on the continent. We’re thrilled to bring a touch of Pret to this incredible city while incorporating South African flavours into our menu.” Hamza Farooqui, chief executive of Millat Group, added: “We are excited to bring Pret to South Africa. This is not just about opening new shops; it’s about introducing an entirely new café culture, one that revolves around freshly handmade food and commitment to quality.” Pret signed a “landmark deal” with Millat Group to open in South Africa in February last year. The group also holds the exclusive licence to operate US convenience brand Circle K in South Africa, as well as Hyatt House hotels in Cape Town and Johannesburg through a partnership with global hotel company Hyatt. Additionally, Millat Group operates the dark kitchen restaurant brands Dhaba and Gimba in Johannesburg.
JD Wetherspoon increases prices: JD Wetherspoon has increased the price of a host of popular drinks and menu items. It means the price of some drinks have gone up by 15p and meal deals by 30p. The rise will see the cost of a Guinness at The London and South Western branch in Lavender Hill, south west London, go from £4.66 to £4.81, while the cost of a Strongbow will increase from £3.24 to £3.39. The average price of a meal deal at Wetherspoon without an alcoholic drink was £4.99, and with a drink, it is £6.52. A 30p rise means they will now cost £5.29 and £6.82, respectively. Wetherspoon said a number of drinks will not go up in price, including all draught lager such as Budweiser, Carling and Coors. The company said any price increases will be put in place UK-wide, but not at its seven Republic of Ireland sites. Prices also vary across Wetherspoon pubs. Chairman Sir Tim Martin told The Sun: “Wetherspoon has always tried to remain as competitive as possible. We hope that our prices will still be reasonable in spite of these increases.” The announcement comes just months after Sir Tim warned the company may increase prices following the government’s autumn Budget.
Caprinos set to make Irish debut: Pizza franchise Caprinos is set to expand into Ireland with the opening of its first store in Dublin. The new store, at 22b Village Green Shopping Center in Tallaght, Dublin, is one of five stores Caprinos plans to open in the country within next two years. Building on its experience in opening three overseas stores in Pakistan, the company said its launch in Ireland will “act as an important proof point as the group looks at other opportunities for international expansion”. Co-founders Gul Nawaz and Khalil Rehman said: “We’re really excited to bring Caprinos to Ireland. We believe our high quality, innovative and affordable proposition will be well received by local consumers and look forward to introducing them to Caprinos alongside our local franchisees. Our launch in Dublin also marks a significant moment for us. Ten years ago, we hatched a plan. Leveraging our expertise working in other franchised businesses, we wanted to put our skills to the test and start our own venture – and that was Caprinos. A decade on, we’re proud to have grown to more than 100 stores, with a network of ambitious and entrepreneurial franchisees underpinned by our strong brand, operational excellence and community-led proposition. Now, as we look ahead, we have strong foundations – from our central production kitchen to our track record of successful new product development – to take Caprinos to the next level and cement it as a household name.” Founded in 2014 in Didcot, Oxfordshire, Caprinos passed the 100-site mark last autumn.
Lane7 reports record-breaking festive trading as full-year revenue hits £42m, sees 6% like-for-like sales growth year-to-date: Lane7, the boutique bowling and experiential entertainment operator, has reported a record-breaking December, with sales up 23% year-on-year, capping off a year of 26% total revenue growth. The group, which includes Lane7 and Level X, delivered £42m turnover in the year ending 31 October 2024 and said it continues to see strong momentum into its current financial year, with 6% like-for-like sales growth year-to-date. Managing director Gavin Hughes said: “December was our biggest trading period yet, with demand at an all-time high. We saw record-breaking site performances across the UK, and this level of growth underscores the strength and passion of our teams to deliver best-in-class experiences.” Lane7 opened its first international site in Berlin in 2024 and Hughes confirmed that the brand’s expansion pipeline is well underway, with two new Dublin sites opening in February and March. He added: “Berlin has been a fantastic success, proving the international demand for our unique take on competitive socialising. Dublin is next, and we have an active pipeline of further European locations in development.” In the UK, the group will open new Lane7 sites in Milton Keynes and Newcastle and Gutterball sites in Edinburgh and Lincoln later this year. These openings will continue the brand’s exclusive partnership with Moment Factory’s augmented games, continuing its aggressive UK rollout. Despite sector-wide cost challenges, Hughes said he remains bullish about the company’s trajectory. “We’ve built a high-margin, experience-led business that continues to outperform the market,” he added. “Our ability to evolve, reinvest, and expand in the right locations means we’re set for another record-breaking year.”
London gourmet jacket potato business targeting UK-wide expansion through franchising: London gourmet jacket potato business Spud Bros is targeting UK-wide expansion through franchising. The business has its roots in 1950s Lancashire, having started out as a potato cart run by Ernie Rhodes in Preston’s Flag Market in 1955. The company has been a family-run business since, with Jacob and Harley Nelson taking it over in 2020 and rebranding it as Spud Bros, operating out of Archer Street in London’s Soho. The company has now developed a Spud Bros Express format to help it grow and partnered with Seeds Consulting to find the right partners to expand with. “Spud Bros Express takes the beloved British baked potato and reimagines it for a global audience, with quick-service, customisable gourmet meals,” a Seeds Consulting spokesman said. “From its humble origins in 1955, with Ernie Rhodes’ food truck at Preston Flag Market, to its rebranding by Jacob and Harley Nelson, Spud Bros has grown into a vibrant business with more than five million social media followers. Spud Bros provides a nutritious yet indulgent alternative to traditional fast food. This business offers a unique franchise opportunity, with simple skill requirements and low capex. Adding to this, extraction is not required, making Spud Bros Express accessible to new and seasoned entrepreneurs alike, and perfectly positioned for rapid growth and scalability in the quick service restaurant market.” Seeds Consulting founder Matteo Frigeri added: “We have just started working with Spud Bros Express and the response from the franchise community has been mind-blowing. Small uncomplicated sites, no extract, massive demand and very low competition nationwide.” Menu options include The Spud Bros Classic (garlic butter, signature three cheese mix, baked beans, crispy onions and tram sauce), Tuna Coleslaw (tuna mayo and creamy coleslaw) and The Spud Father (signature three cheese mix, chilli con carne, crispy onions and tram sauce).
St Austell adds to managed estate with Cornish pub acquisition: Brewer and pub operator St Austell Brewery has acquired the lease of The Godolphin in Marazion, Cornwall. The pub joins the company’s 46-strong managed estate. As part of the deal between St Austell and owners St Aubyn Estates, all staff will remain working at The Godolphin. As well as a premium, 120-cover indoor dining space, The Godolphin has ten bedrooms and outside terraces. Andrew Turner, chief operating officer at St Austell, said: “As a family business, we are deeply passionate about operating the region’s very best pubs, and The Godolphin is an exciting addition. This acquisition builds on the strong momentum we have in our managed pubs and follows the recent announcement about the transformative investment at the Pedn Olva in St Ives. This level of investment further demonstrates our commitment to West Cornwall and the Cornish hospitality economy more broadly.” Felix St Aubyn, chief executive of St Aubyn Estates, added: “I am very optimistic that this partnership between two Cornish family businesses will secure a bright future for The Godolphin for all those who know and love it.” St Austell owns more than 160 pubs, inns, and hotels across the West Country.
KFC franchisee Splendid Restaurants – ‘significant’ price rises to mitigate cost pressures had a ‘detrimental impact on transactions and overall profitability’: KFC franchisee Splendid Restaurants (Colonel), which operates 39 restaurants across the Midlands and north east, has said “significant” price rises to mitigate cost pressures had a “detrimental impact on transactions and overall profitability”. It comes as the company reported turnover was up to £32,018,760 for the year ending 31 December 2023 compared with £30,238,628 the previous year. Ebitda dropped to a loss of £491,330 from a profit of £21,589 the year before. The group, which employs around 800 staff, saw pre-tax losses rise to £4,265,738 from £3,299,420 the previous year. Director Nadeem Boghani said: “The resilience demonstrated by the business and the agility of the management team has enabled the company to navigate a challenging year. The company's average site sales per week increased to £34,282 from £32,599. The quick service restaurant (QSR) sector remains a competitive environment within a challenging UK economic climate. Events in Ukraine and the knock-on impact on energy costs, coupled with high cost inflation, resulted in a challenging year. As with other QSR brands, price, which is controlled by the franchisor (KFC UK), did increase significantly to mitigate these cost pressures, albeit this had a detrimental impact on transactions and overall profitability.” No dividend was paid (2022: nil).
Gong Cha makes Northern Ireland debut: Gong Cha, the fast-growing bubble tea brand headquartered in the UK, has opened its first store in Northern Ireland. The brand, which operates more than 2,100 stores across the globe, has opened at 66-68 Botanic Avenue in Belfast. Gong Cha now has 15 UK locations, including four in Manchester and two in London. Gong Cha has a long-term ambition for 10,000 stores worldwide, including 500 in the UK. Gong Cha Belfast franchisee, Adam Heyes, said: “We're excited to bring Gong Cha to Ireland for the first time and start serving cups of happiness to the people of Belfast, a unique city with a fantastic blend of students, locals and tourists. Bubble tea is a fast-growing phenomenon that continues to spread globally thanks to its international appeal to a diverse demographic. The new store is the first on the isle of Ireland and we are confident it will be a huge success offering a variety of bubble tea premium products and recipes to a new audience.”
Big Mamma set to open City of London site: Big Mamma Group, the McWin-backed restaurant group, is set to open a sixth site in the capital, in the City of London. The group, which has also been linked with an opening in Canary Wharf, has submitted plans to turn part of the ground floor of the former Scottish Provident Building at 1-6 Lombard Street into a new restaurant. A planning application was submitted last week, while a licensing application was submitted this week, covering the periods from 7am to 2.30am, for the sale of alcohol, playing of recorded music and late-night refreshment. Big Mamma made its regional debut at the end of last year with a launch in Birmingham and is also set to open a second UK site under its Circolo Popolare concept, in Manchester.
Scottish peri peri chicken franchise set to make London debut: Scottish peri peri chicken franchise Black Rooster is set to make its London debut. Black Rooster was founded by Mick Kennedy and Kevin Bell in 2017 and has since grown to 18 locations across Scotland. The duo initially looked into opening a Pepe’s Piri Piri in Glasgow, but having discovered the brand’s master franchisee already had four in the city, set about developing their own brand. “Scotland’s most-loved peri peri chicken is heading south,” the company posted to social media. “From our first store in Glasgow’s East End to 18 thriving locations across Scotland, we’ve been on an incredible journey. And now, it’s time for our biggest milestone yet – after building an amazing community across Scotland, we’re finally bringing our bold flavours and legendary grilled peri peri chicken to the people of London. The exact location is under wraps, but trust us, it’ll be worth the wait. Londoners, get ready. Black Rooster peri peri is coming in hot!” In November 2023, Propel revealed that Black Rooster was exploring launching in China after presenting to potential investors in Shanghai. The team was invited by Glasgow Chamber of Commerce to attend the Chinese International Import Expo in Shanghai, which Bell said led to “an amazing week full of exciting discussions, positive meetings and new connections made”. He added: “I can’t wait to see where this opportunity takes us.”
Gym Group founder joins The Padel Club as chair: The Gym Group founder John Treharne has joined The Padel Club – which operates six clubs – as chair. A former England squash player and chartered accountant, Treharne launched Dragons Health Clubs in 1991, which he scaled to 22 clubs and listed on the London Stock Exchange in 1997 before selling the business in 2000. In 2007, he founded the Gym Group, which in 2015 became the first UK health and fitness group to list on the London Stock Exchange this century. Treharne remains chair of The Gym Group, which has now grown to 245 gyms and 891,000 members nationwide. He replaces Paul Gilbert as chair of The Padel Club, which was launched by Kris Ball in 2022 and now has clubs in Wilmslow, Trafford, Gloucester, Knutsford, Sutton Coldfield and the Tees Valley.“ Having worked closely and successfully with Paul Gilbert for ten years at the Gym Group, I’m honoured to take on the role of chair at The Padel Club,” Trehane said. “Kris Ball’s vision and the team’s passion for growing the sport are truly inspiring. As both chair and joint investor, I’m excited to support The Padel Club’s ambitious expansion and leverage my experience in scaling businesses through private equity investment, initial public offerings and beyond.” Last year, The Padel Club secured a £1.5m investment from the Northern Powerhouse Investment Fund II, which is set to help the company’s “ambitious plans for rapid expansion in 2025”. Ball added: “It has been invaluable having John involved with The Padel Club over the past few years. His unparalleled experience in scaling multi-site leisure businesses comes at a pivotal time for us as we embark on significant growth. I’m thrilled to welcome him as chair and confident his expertise will help us achieve our goal of becoming the UK’s leading padel operator.”
North west Wales McDonald’s franchisee reports profit boost as turnover hits record £27.2m: McDonald’s franchisee PGL Enterprises, which operates six sites in north west Wales, has reported turnover increased to a record £27,229,320 for the year ending 31 December 2023 compared with £24,905,249 the previous year. Pre-tax profit was up to £913,199 from £730,936 the year before. A dividend of £331,837 was paid (2022: £301,189). Franchisee Phillip Lowndes opened his first McDonald’s site in Bangor in October 2006 and now employs around 720 staff. The move marked a return to the foodservice industry for Lowndes, who started his working life with a bakery in Wrexham before going on to work for international packaging company Tetra Pak and rising to become sales director. But it was also the realisation of a long-held dream, as he had harboured a wish to follow in the footsteps of his parents, who had run a pub in Coedpoeth. “I was looking to run my own businesses at some point in my life,” he told North Wales Live. “I looked at a number of franchising operations but I was intrigued that McDonald’s wanted me to spend 12 months training with the business.”
Knead Pubs reports 6% like-for-like growth in 2024, plans future expansion within Stamford: Knead Pubs, the operator of two pubs and a hotel in Stamford, has reported 6% like-for-like growth in 2024 and said it is planning future expansion within the Lincolnshire town. The company said its venues – The Crown Hotel, Paten & Co and The Tobie Norris – have all seen a steady growth in sales over the last 12 months. Knead has now acquired the building on Broad Street adjacent to The Crown Hotel, which it plans to convert into nine hotel suites. The purchase also means the pub’s car park can be extended, including adding two electric car charging points, with the works due to be completed by the summer of 2026. Owner Michael Thurlby said: “Stamford is such a wonderful town to operate in and we are so lucky to be surrounded by such a vast array of vibrant, eclectic and independent shops, cafes, restaurants and bars. As for our own businesses, we could not be more pleased. The Tobie Norris goes from strength to strength and is exactly the type of pub you would expect to find in a town such as Stamford. Patens is now an established favourite, with its modern merchant interior, central location and exciting dishes helping create another interesting and different experience for the town. Lastly, The Crown is our jewel – it goes from strength to strength and is embraced for its home cooked dishes, unique spaces and expansive courtyard garden that can cater for every occasion. All this has given us great confidence to further invest and expand our operation within our wonderful town.” The previously seven-strong business sold four pubs to RedCat Pub Company in 2021 – two in Bourne and one each in Oakham and Newark.