Story of the Day:
Caprinos targeting London for next phase of expansion, set to launch in the Middle East this year: Fast-growing pizza franchise Caprinos has told Propel it is targeting London for its next phase of expansion and is also set to launch in the Middle East this year. The business, which was founded in 2014 in Didcot, Oxfordshire, has now grown to 100 UK sites, plus three in Lahore, Pakistan, and one in Dublin. Earlier this week, Caprinos revealed plans to open 20 new stores in 2025, as part of plans to double in size to 200-plus locations by 2030. Expanding on those plans, co-founder Khalil Rehman told Propel: “We really want to get into London. During our expansion, we focused on smaller towns, which were more cost effective and offered less competition, and have since started moving to bigger cities, which gave us a bit of confidence. We already have branches in Croydon, Limehouse and Upminster, and we now have three new branches coming in London. The first is near Watford and the second in East Sheen, which is one of six Pizza Hut stores we recently took on. Scotland is a big opportunity too. We currently have one each in Glasgow and Edinburgh – we have another coming in Glasgow, and our Edinburgh franchisee has signed for three more locations. Before that, we open in Cambridge in early April, then Kettering and Sheffield, and a few more around Manchester. That area has been really popular for us. One franchisee we spoke to this week wanted to take an area between Stoke and Manchester, but there’s nothing available – we’re almost fully covered between Birmingham and Manchester. We’re encouraging people to move out of their existing area and look at other areas for expansion, so our franchisee decided to go to Liverpool, where we have one branch, which is doing amazingly well.” Caprinos also this week revealed plans to expand to further international market like the US and India, but Rehman said the Middle East will be next. “We’ve had talks in Dubai and Qatar, but we will open first out there in Saudi Arabia,” he said. “We have signed for three locations there initially, and the first will open later this year. We have given the master franchise to one of our existing UK franchisees who is moving out to Riyadh. He will start with three in Riyadh and then expand to other cities in Saudi before going to other countries in the region.” Caprinos didn’t start franchising until 2018 and has really taken off post-covid, with 95 of its stores opening since 2020. “Me and Gul (co-founder Gul Nawaz) came to this country in 2008 and started working in different quick service restaurant brands,” Rehman said. “We started Caprinos when the UK pizza market was dominated by big US brands and thought we’d only open a few stores, but we had such an amazing response, and since then it has just gone crazy. Those first few years we expanded with our own savings, and we were reluctant to franchise initially as we didn’t think anyone would care as much about our brand as we did. Our first franchisee was one of our own staff members as he understood the culture and values of the brand. It was the same for the first few branches and then store number 16 was the first that went to an outsider – and that franchisee, Shezad Rafiq, now has 12 branches. It became a very good decision as he had the financial strength to expand. He opened his first store in Stoke and got his return on investment within the first year. That gave us more confidence in the brand.”
Industry News:
Laine Pub Company founder Gavin George to speak at Excellence in Pub & Bar Retailing Conference, open for bookings with 20% discount on tickets for Premium Club subscribers: Gavin George, founder and former chief executive of Laine Pub Company, will be among the speakers at the Excellence in Pub & Bar Retailing Conference. The all-day conference takes place on Wednesday, 14 May at One Moorgate Place in London and is open for bookings. George looks back on his near 30 years in the sector, what he learnt, his achievements and mistakes, and how he hopes to see the industry evolve. For the full speaker schedule, click
here.
Tickets are £295 plus VAT for operators and £345 plus VAT for suppliers. There is a 20% discount for operators and suppliers who are Premium Club subscribers. Email: kai.kirkman@propelinfo.com to book places.
In Conversation: Propel talks to Bill’s managing director Tom James: In the latest in new series of fortnightly podcasts, exclusive for Propel Premium Club subscribers, Propel group editor Mark Wingett and Mark Stretton, managing director of leading sector public relations firm Fleet Street Communications, talk to Tom James, managing director of the Richard Caring-backed Bill’s Restaurants. Available today (Friday, 21 March) at 3pm, James discusses, among other things, the brand’s turnaround which has seen it double its Ebitda over the past two years, its return to the expansion trail, why the business is looking to go overseas, the role technology has played in the group’s growth, and who he admires in 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.
Next Who’s Who of UK Hospitality to be released today featuring 894 companies: The next Who’s Who of UK Hospitality will be released to Premium Club members today (Friday, 21 March), at midday. Another seven companies have been added to the database, which now features 894 companies. This month’s edition will also include 52 updated entries and more than 240,000 words of content. The companies, listed in alphabetical order, will have their most recent results reported, as well as broader information around Ebitda, plans and trading style available. The database merges Companies House information, interviews and other public information to provide an easy to reference and exhaustive guide to the sector. Premium Club subscribers also receive access to five other databases:
the Multi-Site Database, the New Openings Database, the Turnover & Profits Blue Book, the UK Food and Beverage Franchisor Database and
the UK Food and Beverage Franchisee Database. All Premium Club subscribers 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 International Brands report. Operators that are Premium Club subscribers are also able to send up to four members of staff to each of our four Multi-Club Conferences for free. Premium Club subscribers 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 subscribers 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 subscribers 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.
Headline market growth has softened slightly, delivery sales slowing markedly: The UK’s hospitality sales grew 1.9% year-on-year over the 12 weeks ending 11 March 2025, according to analysis from HDI, provider of card spending insight and pricing data to the sector. Sales in the latest four weeks softened slightly to 1.8% year-on-year growth, a number that continues to lag the rate of inflation in the wider economy. Over the 12-week ending period, delivery continues to be the standout performer, with independents and smaller players and coffee and sandwich shops also outperforming the hospitality market overall. Mark Bentley, business development director at HDI, said: “Headline market growth has softened slightly in the latest four weeks, with delivery sales slowing markedly, while pubs and bars and coffee and sandwich shops have seen a noticeable uptick in performance. Looking in more detail at the pubs and bars sector, rural locations are generally continuing to perform well, while London performance continues to lag behind other regions.”
UKHospitality – ‘bare minimum the sector needs is cut in interest rates in order to grow’: UKHospitality has expressed its disappointment at the Bank of England’s decision to hold interest rates at 4.5%, saying the “bare minimum” the sector needs is cuts in the rate in order to grow. UKHospitality chief executive Kate Nicholls said: “The precarious state of the economy is no secret, with the most recent GDP figures indicating the fragile state it’s in. It’s therefore vital to kickstart growth and hospitality has a unique potential to drive growth in communities across the nation, if it is properly backed. Businesses across our sector generate more than £140bn in revenue each year, and provide work for more than 3.5 million people, but are shackled by soaring costs that are inhibiting growth. This will only get worse in April, when the sector will be hit by £3.4bn every year in additional costs. Cuts to interest rates, as well as a delay to the impending lowering of the national insurance contributions threshold, is the bare minimum hospitality businesses need in order for them to continue to provide viable spaces for us to live, work and invest in.”
Job of the day: COREcruitment is working with an operator that is looking for a director of food and beverage. A COREcruitment spokesperson said: “The position will oversee all commercial hospitality offerings at this independent living operation in London. The role is to assess and develop the catering offering across a café, formal restaurant, bar, retail shop and, looking forward, the events space. There is a focus on team development and training so experience in this area is required. The individual must have experience within a leadership capacity in hospitality and catering, ideally within a senior living setting. Experience of stakeholder management will also be required.” The salary is up to £100,000. For more information, email dan@corecruitment.com.
Company News:
Exclusive – Riding House Cafe group assessing strategic options: House Cafe Company, the Adam White-led, London-based business behind Riding House Cafe, has appointed advisors to assess its strategic options, including securing new investment, Propel has learned. House Cafe Company, which operates Riding House Café in Fitzrovia, Rail House Café in Victoria, and Riding House Bloomsbury at The Brunswick Centre, is working with Gerald Edelman and One Voice Hospitality on its options. Nick Wallis, partner at Gerald Edelman, told Propel: “Gerald Edelman, alongside One Voice Hospitality, is delighted to be working with the iconic and award-winning restaurant group Riding House Cafe, to assess the strategic options for the business as it looks to expand by rolling out more flagship sites. Riding House sites are neighbourhood institutions, and the group has been a pioneer in the casual dining scene over the last ten years.”
Danish espresso bar concept Hagen makes international debut with ‘multiple’ overseas openings planned for 2025: Hagen, the Danish espresso bar known for its Scandinavian-inspired coffee houses, has made its international debut, with “multiple” overseas openings planned for 2025. Marking the next step in its growth plan, Hagen has opened a bar in Amsterdam, in the Dutch capital’s central district Kleine-Gartmanplantsoen. A second Amsterdam site is also in the pipeline, Propel understands. Hagen has seen significant growth in the UK market, with 17 espresso bars in London, including its concept bar in North Audley Street in Mayfair, which opened at the end of 2024. This expansion has been driven, according to founder Tim Schroeder, by the brand’s “premium positioning paired with a truly sustainable ethos”. Schroeder said: “I founded Hagen to create a Danish coffee experience anchored in the premium end of the market. But in my mind, it’s not enough to be premium – we have to give back to the communities we touch and do something that’s real. This somewhat uncommercial approach earned us customer loyalty and helped us to grow. We are looking forward to bringing this to Amsterdam – a city with a fantastic cafe culture, quality and craftsmanship – that loves bikes and windmills as much as we do in Copenhagen.” Propel understands that Hagen’s trading so far in 2025 has been “very positive”. Last month, Hagen added sites in St John’s Wood and Canary Wharf to its London estate.
Cairn Group reports half-year Ebitda of £21.4m following ‘relentless focus on improving all aspects of business’: Hotel and bar operator Cairn Group has reported Ebitda of £21,400,000 for the six months to 31 October 2024 following “a relentless focus on improving all aspects of the business”. It comes as the company, which operates circa 25 hotels and ten bars and restaurants, reported turnover fell 2.7% to £127,818,000 for the year ending 30 April 2024 compared with £131,328,000 the year before. Ebitda was down to £14,364,000 from £20,583,000 the previous year. The group, which employs around 2,250 staff, made a pre-tax loss of £7,257,000 compared with a profit of £43,137,000 the year before. In 2023, the company made a profit of £15,702,000 on the disposal of two hotels and received £20,761,000 from profits generated by its joint venture with global real estate firm, PGIM Real Estate. In 2024, profits of £1,164,000 were received from the joint venture. Post year end, Cairn Group received £8,450,000 in cash from its joint venture for the group’s share of profits to date. At the date of the signing of the report accompanying the accounts [23 December 2024], the group’s outstanding bank debt had reduced to £131,560,000 – down from £188,277,000 in April 2022. Director Aran Handa said: “Ebitda reduced primarily due to the sale of two hotels in the previous year, and a material increase in utility costs. While suffering an accounting loss, due to Ebitda containing repair costs – then accounting for depreciation and amortisation, one-off costs, and the interest cost of debt – this was expected and included in the group’s plans for 2024 and some future years as the business invests in securing its longer-term success. Following covid, the opportunity was taken to holistically reconsider business models at every hospitality venue, and initiatives and programmes were implemented to deliver value for guests against a more efficient cost base. However, the group continues to trade in a challenging and changing market principally due to both global and UK-specific economic uncertainties. Specifically, the impact of inflation on the group’s key costs – including wages, food and beverage purchases, and utilities – has been material to the results and this has continued to be the case to date. Further, the directors continue to look for new properties that will fit into their existing portfolio.” No dividend was paid (2023: nil).
Lola’s Cupcakes sales up 7.5% and planning five more sites in 2025 as it prepares to add to regional presence: Lola’s Cupcakes owner Asher Budwig has told Propel that sales were up 7.5% on last year until the end of February and that it is planning to open at least three to five more sites in the remainder of 2025. It comes as the company prepares to open its third regional site, at the Touchwood shopping centre in Solihull in the West Midlands. The cupcake cart will open on Monday (24 March). The launch adds to Lola’s Cupcakes’ other regional sites, within Selfridges in Birmingham’s Bullring shopping centre, and at the Bluewater shopping centre in Kent. Lola’s Cupcakes also operates 25 sites in London. Owner Asher Budwig told Propel last October that he wants to expand the “London-centric” business to northern cities such as Manchester, Leeds and Newcastle.
Former McDonald’s UK COO’s franchise operation returns to profit as sales hit record £142m: Fortress Operations, the franchise operation founded by former McDonald’s UK chief operating officer Richard Forte, returned to profit in the year to 31 March 2024 as sales hit a record £142m. The company, which opened its 31st restaurant across Berkshire, Hertfordshire and Bedfordshire during the year – in Taplow – turned a pre-tax loss of £2,669,537 in 2022 into a profit of £2,647,569. The company reported insurance claims receivable of £1,495,183 (2023: nil), following a fire at its Friar Street restaurant in Reading in May 2023, as well as a £46,537 loss on disposal of tangible assets (2023: loss of £8,661). Turnover increased 9% from £130,145,204 in 2023 to £142,003,836 while employee numbers increased from 3,156 to 3,570. Dividends of £466,667 were paid (2023: £452,494). Forte said: “The company continued its investment in the McDonald’s restaurant refurbishment project, with six restaurants undergoing the ‘Convenience of the Future’ upgrade programme, which aims to increase both choice and speed of service when ordering meals. Although food and labour costs increased significantly during the year, gross profit increased by 19% compared with the previous year. In common with many other similar businesses and industries, fuel and utility costs also increased, although the company still recorded a net profit before taxation of £2,647,568 for the year, compared with a loss of £2,669,537 in the previous year. During the year, one of the company's restaurants suffered extensive building damage due to a fire in an adjacent property that necessitated its closure while it was being refurbished. The company received an insurance claim to meet the costs of the reinstatement. The directors believe the trading environment in which the company operates will continue to be challenging but remain optimistic regarding future trading.” Following the fire, the company’s Friar Street branch reopened just four months later. Forte said: “It was clear that the restaurant was damaged beyond repair. It normally takes a year for this type of refurbishment to happen, but alongside the architects and the construction company, everything came together.” Forte started out with McDonald’s 30 years ago, as trainee manager to the director of operations, before spending eight years as its chief operations officer and senior vice-president UK & Northern Europe. In 2016, he returned to his hometown of Reading to start up his own McDonald’s franchise.
Wingstop set to replace Franco Manco in Peterborough: Wingstop, UK, which is backed by US private equity firm Sixth Street, is set to replace Franco Manco in Peterborough. Fulham Shore, the Toridoll and Capdesia-backed group also behind The Real Greek, opened a Franco Manco restaurant in the city’s Cathedral Square in 2022. However, a company spokesman told the Peterborough Telegraph: “After careful consideration, we have made the difficult decision to close our Franco Manca restaurant in Peterborough. We want to sincerely thank our loyal customers and our fantastic team for their support and dedication. While this chapter is coming to an end, Franco Manca continues to thrive in other locations, bringing our signature sourdough pizzas to communities across the UK. We look forward to welcoming our customers to our other restaurants and hope to return to Peterborough in the future.” Wingstop, which has a Peterborough location in its pipeline, has submitted a building control notice to the city council in connection with the refurbishment of the restaurant, and has been recruiting staff for a Peterborough opening. Wingstop earlier this month opened its 60th UK site, in Brighton.
Love Churros set to open ‘many more’ locations this year, secures spot at Formula 1 in Bahrain: Urban dessert experience Love Churros has said it is set to open “many more” locations this year after expanding its regional presence. The business currently has six locations in Greater London and previously had one UK outpost, at the McArthurGlen Designer Outlet in the West Midlands. It added to that earlier this month by launching at the Victoria Centre in Milton Street, Nottingham – under the iconic Victoria Station clock tower. Teddy Smith, head of franchise UK and international at Love Churros, said: “First UK launch going into 2025, with many more to follow this year. Proud of the team and delighted to expand our footprint in the Midlands.” The company, founded in 2015 by former professional footballer Jake Nicholson, also has three locations in the Middle East and said last year that it was planning further overseas growth. It is also set to have a site at the Formula 1 in Bahrain, which takes place next month. Nicholson said: “Coming up to one year ago, we took Love Churros to Bahrain. After multiple store launches, we are about to launch at Formula 1, one of the biggest sporting events in the world. Building a brand isn’t about ideas. It’s about execution. We fought through air freight, logistics and international expansion hurdles to get here and still do most days. Most people see a dessert brand – what they don’t see is the systems, the strategy, and the obsession with growth that got us here. This is what happens when you stop waiting and start executing.”
Boss Pizza lines up Nottingham launch: Franchise pizza concept Boss Pizza, founded during the pandemic by Ajmal Mushtaq, is lining up a launch in Nottingham. Set to open this summer, the exact location has not yet been revealed, but it is in the city centre. Mushtaq, who previously operated acclaimed Indian restaurant Mushtaqs in Hamilton, launched Boss Pizza with two stores in Scotland – in Hamilton and Larkhall. The concept made its English debut last year with a launch in Acton, west London, which is currently listed as “temporarily closed”. Last month, in partnership with franchisee HLN Group, Boss Pizza opened its second store in England, in Walsall. This will be followed with openings in Colchester and Bradford in mid-April, before returning to Scotland for a launch in Glasgow, and then returning to England to open in Oldham in mid-May. Longer term, Boss Pizza has locations in Huddersfield, Coatbridge, Bletchley, Wolverhampton, Sheffield, Luton, Clydebank, Dumbarton, Milton Keynes and Hemel Hempstead listed as “coming soon” on its website.
Family behind Le Relais de Venise l’Entrecôte to open Japanese restaurant in London: The family behind the London and New York branches of French bistro brand Le Relais de Venise l’Entrecôte is set to open a Japanese restaurant in London’s Marylebone. Opening in May, Romeo San will see the Elghanayan family branch out into Japanese food, with a temaki bar at 38 George Street. There will be just 25 seats at the counter and, similarly to Le Relais, it will be a walk-in only affair. “Our handrolls will be made with the finest ingredients,” founder Yasmine Elghanayan told Hot Dinners. “The dining experience is designed to be effortless – offering luxury without the wait.” Romeo San will also offer DIY handroll kits to make up at home. There are currently two branches of Le Relais de Venise l’Entrecôte in London – in Marylebone and in the City. As well as New York, Le Relais de Venise l’Entrecôte has overseas branches in Mexico City and Monaco.
Investment group led by pop star turned hospitality entrepreneur Recardo Patrick acquires Sheffield cafe: An investment group led by pop star turned hospitality entrepreneur Recardo Patrick has acquired a café in Sheffield. Dunham Massey Investment Group, of which Patrick is chairman and a shareholder, has bought Thyme Café in Sheffield, near Sheffield Hallam University, in a deal brokered by agent Christie & Co. The cafe has been in operation for more than 20 years after being originally founded by three Sheffield University students. Alex Rex, associate director at Christie & Co, said: “This transaction was a share sale where the buyer took on the existing liabilities, showcasing its confidence in the hospitality sector. Market trends are clear: there remains a consistent level of demand for well-priced establishments in prime locations, be it city centre or rural spots, both leasehold and freehold. Last year alone, we saw 88% of the businesses we sold – 143 pubs and 70 restaurants – for continued use under new ownership.” It is a second acquisition of the year for Durham Massey, which in January bought the Riva restaurant in Hale, Greater Manchester, for an undisclosed sum. Dunham Massey operates an expanding portfolio of hospitality and manufacturing businesses in the UK, managing more than £140m of assets. Also in his group’s pipeline for this year is acquiring Cheshire pub The Swan with Two Knicks and re-purchasing Wilmslow’s Cheshire Smokehouse, which was previously in its portfolio. Patrick rose to fame in the 1970s as the lead singer of British soul group Sweet Sensation. His other recent investments include the AMOK nightclub on the island of Palma De Mallorca, which had its first phase opening last summer.
Lake District Hotels cuts energy bills by almost a quarter after installing generators, grows revenue and profit: Family-owned Lake District Hotels said it has cut its energy bills by almost a quarter after installing generators at some of its properties. The company, led by the Graves family, includes Lodore Falls Hotel & Spa in Derwentwater, Inn on the Lake in Ullswater and Keswick venues Borrowdale Hotel, Inn on the Square, Skiddaw Hotel and Kings Arms Hotel. Armathwaite Hall is owned separately by the family. Director Charles Graves, in the company’s accounts for the year to 31 March 2024, said: “Heat and light costs have decreased by 23%, despite gas and electricity prices soaring in recent years. The company installed a hydro electric generator at the Lodore Falls Hotel and invested in new LPG generators at the Lodore Falls Hotel and the Borrowdale Hotel, which became operational this year. There are also plans for a ground source heat pump at Inn on the Lake.” The company’s pre-tax profit grew from £5,349,434 in 2023 to £6,580,663. Turnover was up from £25,836,420 to £27,002,767. Of this, £10,503,393 came from accommodation (2023: £10,577,791), £8,651,196 from dining (2023: £8,161,756), £5,566,386 from bar sales (2023: £5,146,587) and £2,281,792 from spa income (2023: £1,950,286). Graves added: “The UK is experiencing a cost-of-living crisis caused by surging inflation and interest rate hikes. Therefore, customers do not have as much disposable income as before. Nevertheless, the Lake District remains a very sought-after tourist destination. The directors seek to maintain the hotels to an exceptional standard, placing them in the luxury end of the market; funds are being reinvested back into the business. The Lodore Falls Hotel has recently undergone a £2.5m ground floor renovation project, including a refurbished and rebranded restaurant and a £650,000 state-of-the-art kitchen facility. In addition, the Skiddaw Hotel and the Inn on the Lake have benefited from several bedroom refurbishments and upgrades. The Inn on the Lake hotel seen completion of a new outdoor lakeside terrace during the year. The company remains in a strong financial position, with net assets of £65.3m, an increase of 7.6% on 2023.” Dividends of £447,994 were paid (2023: nil).
Historic Chinese noodle restaurant dating to the 18th century to open London location: Songhelou, an historic Chinese noodle restaurant dating to the 18th century, is set to open a London location. Songhelou, which was first founded in Suzhou in 1737, will open at 22 Wardour Street, in London’s Chinatown, on Friday, 4 April. Taking over three floors, with room for 150 diners, it will showcase the food of Jiangnan, a region immediately south of the Yangtze River in the south east of China. Songhelou will offer Suzhou-style noodles in a dark broth with toppings such as sweet and sour squirrel-shaped bass, Suzhou-style braised pork, stir-fried crab meat and roe, eel slices in oil and flavoured crayfish. As per Suzhou tradition, guests will also be able to pair their food with a variety of tea, including Jasmin Silver Needle, Osmanthus Longjing and Peach Oolong.
Sandwich Sandwich launches its first self-serve kiosks: Sandwich Sandwich has launched its first self-serve kiosks. The company has introduced the machines at its new Mark Lane site, in the City of London, which opened this week. The site is the company’s second in the capital following its London debut last year, in Gresham Street. “One of the biggest changes at Mark Lane? For the first time, we’ve introduced kiosks as part of the ordering system,” the company posted to social media. “We took everything we learned from Gresham Street and streamlined the process to make ordering even smoother. While we’re famous for queues down the street, we never want our customers waiting longer than necessary for their sandwiches. The new kiosk system lets customers place their orders, track them in production, and know exactly when they’re ready. But don’t worry, the theatrics of the deli aren’t going anywhere. Our incredible team of sandwich builders still craft every order with care, so you can enjoy the full experience, from our ice-cream parlour style display to the moment your epic sandwich is built.” Sandwich Sandwich, which also operates three sites in Bristol, told Propel last week that its goal is to have 20 sites open by the end of 2029, and that it is in talks with potential franchisees for a launch in the Middle East. This month, the company also hired former Comptoir Group head of operations Paul Hanna as its new chief operations officer.
Scottish hospitality group changes name as it reports increased profit and turnover: Scottish hospitality group J&R Group has changed its name to Turas Hotels as it reported an increase in profit and turnover in the year to 31 March 2024. The company’s portfolio includes The Seaforth Restaurant and The Chippy at The Seaforth in Ullapool, Glen Mhor Hotel & Apartments and Waterside Restaurant in Inverness, Uile-bheist Brewery & Distillery, McKays Hotel, Bar & Restaurant and McKays Fish & Chip Shop in Pitlochry, and The Boat Country Inn in Aviemore. The company, led by John Erasmus and Richard Drummond, had operated as J&R Group from 2007. Turnover increased from £5,229,423 in 2023 to £5,785,699, while pre-tax profit was up from £287,171 to £420,161. Dividends of £200,000 were paid (2023: £360,000). Drummond said alongside inflation-based price increases, the sales boost was down to added rooms capacity and continual menu development. He added: “The directors anticipate that sales revenues will rise again in 2024-25 and future years, as the increased number of guests able to be accommodated at the hotels drives further increases in accommodation revenue as well as associated food and beverage revenue. Similar to almost all similar businesses in the hospitality sector, increased costs have compelled the group to seek to pass on the cost increases to customers as well as seeking ways in which to improve efficiencies by controlling costs. The directors believe the main challenges from rising inflation and related high interest rates should start to reduce in mid-2025. With the group’s improving and strong profitability from trading, as well as a reduction in its long-term borrowing levels over that period, the group is ideally placed to significantly increase its profit and cashflows further from 2025. Consequently, the directors will continue to identify further opportunities to grow the trade and value of the group.”
Glasgow’s ‘curry king’ set to open new Lanarkshire restaurant: Glasgow’s “curry king” Raj Bajwe is set to open a new Lanarkshire restaurant. Bajwe’s latest venture is Two Way Spice, which will launch at 163 East Kilbride Road in Rutherglen on Tuesday, 1 April. He previously managed Café India, Creme de la Creme and Spice Garden in the city and now runs Murphy’s Pakora Bar. Two Way Spicewill be a new concept for Bajwe, with half of the menu made up for curries and the other half European food. He said: “The reason we chose to open in East Kilbride Road is there is a good size population there, but when you have a good name and a good reputation of 45 years, people know you and they will follow you. An old wise man said to me once, in business, there’s three things you need to know – site, site, site – and the rest is all luck.” Awarded an MBE in 2018, Bajwe has cooked for stars including Michael Jackson, Mel Gibson, Keanu Reeves, Sean Connery and Billy Connolly in the past. He published a book, Tikka Picture, in 2010, based on Cafe India’s wall of fame, while his memoirs revealed that Reeves left a £122 tip.
Scottish distillers The Thompson Brothers launch £1.8m crowdfunding campaign as part of wider £5m raise to build new distillery: Scottish distiller, bottler and blender The Thompson Brothers has launched a £1.8m crowdfunding campaign as part of a wider £5m raise to build a new distillery. Struie Distillery, a “cutting-edge sustainable distillery”, will be located in Dornoch in Sutherland, less than 200 metres from its current site, Dornoch Distillery. The new distillery will have a production capacity far exceeding the original. Struie Distillery will produce up to 20 times more of the Dornoch Single Malt Whisky, building on the current operation at Dornoch Distillery, which has seen continued oversubscription with every release and will run alongside the new development. Every aspect of production except malting will be handled on-site. Since 2016, Phil and Simon Thompson have grown Thompson Brothers into a successful independent whisky business. “Our vision is to create a distillery that not only produces exceptional spirits but also sets a new standard for environmental responsibility in the industry,” said Phil Thompson. “Since my brother and I first dreamt of a new distillery, everything we’ve done has been building towards that goal. This crowdfunding campaign is about financing the build through the support of the wonderful whisky community that will help us to grow and share more Sutherland spirits with the world, all while bringing more long-term non-seasonal employment to the region we call home.” The crowdfunding campaign aims to raise £1.8m as part of an overall raise of £5m into Thompson Independent Traders, the group that consists of Dornoch Castle Hotel, Dornoch Distillery Company and Thompson Bros Independent Bottling, as well as the new distillery development. The additional £3.2m will come from a combination of new and existing investors via a Series A fundraise.
Former The Fat Duck and Aubry chef Mary-Ellen McTague launches Manchester restaurant: Former The Fat Duck and Aubry chef Mary-Ellen McTague has launched new restaurant at the Treehouse Hotel in Manchester. Pip is located on the ground floor of the hotel and offers a menu that “champions low-waste cooking and seasonal ingredients”. With more than 20 years of experience in hospitality and as a restaurateur, Manchester-born McTague has worked alongside Heston Blumenthal at his Michelin-starred restaurants, The Fat Duck and The Hinds Head. Meanwhile, opening later in 2025 at the Treehouse Hotel will be Sister Moon by Sam Grainger, a south east Asian dining destination, and The Nest in Treehouse (both on the 14th floor), plus rooftop lounge and terrace The Hideout. Treehouse Hotel Manchester, by SH Hotels & Resorts, is the second property for the Treehouse Hotels brand to open in the UK after an opening in London’s Marylebone.
York Distillery opens distillery and gin school at Thwaites hotel: York Distillery has opened a new distillery with its own gin school inside one of the city’s hotels. The venue at Middleton’s Hotel, which is owned by north west brewer and retailer Daniel Thwaites, will develop new spirits to complement its existing range. The distillery will also offer lessons in gin tasting, teach people how to make their own gin and host cocktail-making classes. York Distillery’s York Gin tasting experiences have been held in the 16th century York Gin shop for several years. The new location will offer an increased number of classes in a purpose-built space. York Distillery’s business development manager, Becky Tatham, said: “York Gin opened the city’s first gin distillery years ago and we’ve always made all our gin in York. Everything we do is of the very highest quality – so the beautiful Middleton’s Hotel is the perfect partner for us.” Oliver Stott, general manager at Middleton’s Hotel, said: “This is not only a fantastic way to bring a new lease of life to a disused space, but it’s another wonderful experience our guests can choose to enjoy as part of their stay.” York Distillery and York Gin are both owned by York Drinks. Director Natalie Hall said: “York Distillery is where the magic happens. Our main distillery and warehouse in the Murton area of the city will continue to undertake the larger-scale distilling activities along with bottling, labelling and packing.”
New Mediterranean-inspired tapas restaurant to open in Birmingham: A new Mediterranean-inspired tapas restaurant will open in Birmingham today (Friday, 21 March). Regina’s Bar & Restaurant is opening in Newhall Street. The venue will have a menu featuring tapas such as mushroom and truffle arancini, Mediterranean lamb kofta and fresh pasta dishes. There will also be a selection of premium cuts like 28-day aged chateaubriand and grilled native lobster. Jimmy Devollaj, co-director at Regina’s Bar & Restaurant, said: “At Regina’s, we believe exceptional dining starts with the finest ingredients. Every dish is crafted with precision, from our freshly made pasta to our expertly grilled prime cuts. We’re committed to delivering an unparalleled, high-end experience that blends Mediterranean warmth with sophisticated flavours.”
London Jewish deli launches pizza concept: Panzer’s, the Jewish deli in London’s St John’s Wood deli, has marked its 80th anniversary with a new look and the launch of Circus Pizza. Led by Naples-trained Kit Delamain, the pizzas can be enjoyed on the terrace of the Circus Road venue or delivered within a three-mile radius via the new Panzer’s app. The menu “balances well-crafted classics with (very) creative twists”. The Panzer’s pizza reimagines its salmon and cream cheese bagels on a crisp base with Fior di latte, smoked salmon, chives and zesty cream cheese. There is also a sticky toffee pizza, inspired by Panzer’s signature honey cake, plus seasonal toppings like Jersey Royals, wild garlic and Yorkshire rhubarb.
Ukrainian entrepreneur to convert Spanish restaurant in London into new sandwich spot: Ukrainian entrepreneur Andrii Nikonov is converting his Spanish concept Boca a Boca in London into a new sandwich spot. Nikonov brought Boca a Boca – a Spanish idiom meaning “word of mouth” – to Fitzrovia at the end of 2023, having opened the first restaurant in Kyiv in February 2022. Now, Nikonov is converting the site in Charlotte Street to La Spot, which will also be Spanish inspired and have a focus on brioche sandwiches, reports Hot Dinners. The sandwich offer will include pulled oxtail with red wine sauce, cheddar, black pepper and wild rocket; and sauteed vegetables with garlic, green apple, tomato juice and goat (or vegan) cheese. Downstairs will be a stand-alone bar serving up wine and cocktails.
Administrators seek buyer for historic Lancashire hotel and wedding venue: An award-winning Lancashire hotel and wedding venue has been brought to market by Christie & Co, acting on behalf of the administrators. The Mill at Conder Green first went on the market in 2022, for offers of £3m, due to the owner’s retirement. The venue, located four miles south of Lancaster and situated on the Glasson Dock branch of the Lancaster canal, was then marketed for offers in the region of £2.5m in July 2024. The hotel freehold is now on the market with an asking price of £1.6m. The Lancashire Post reported the venue shut suddenly in February due to covid-related financial difficulties and a drop in demand due to the cost-of-living crisis, with all 12 staff made redundant. The property is on the market with vacant possession, on the instructions of the joint administrators from FRP Advisory. Tom O’Malley, associate director – hotels at Christie & Co, said: “The Mill at Conder Green is a beautiful property with significant potential.” The hotel is set within a site of 1.7 acres and comprises 21 en-suite guest bedrooms, a lounge, bar and restaurant with 85 covers. In recent years, a wedding/function suite with a capacity of 120 has been added.