Mon 9th Jun 2025 - Evolution of Britain’s late-night economy being jeopardised by rising costs Evolution of Britain’s late-night economy being jeopardised by rising costs: The evolution of Britain’s late-night economy is being jeopardised by rising costs, the latest Night Time Economy Market Monitor has revealed. The quarterly monitor – produced by CGA by NIQ and the Night Time Industries Association (NTIA) – shows while the number of late-night bars, nightclubs, casinos and other venues has fallen by 25.1% in the five years since the start of the covid-19 pandemic, it increased by 2.0% over the 12 months to end of March 2025. The research indicated particular resilience in bars, where numbers have risen by 7.6% since March 2024 – equivalent to nearly seven net new openings per week. Growth has been powered by competitive socialising and themed bars and some of these have succeeded nightclubs, whose numbers have dropped 33.8% since March 2020. The night-time economy has also been boosted by an increase in “cultural” licensed venues including cinemas, theatres and arenas, where numbers have increased 4.5% in the last 12 months. However, the sector’s evolution is being compromised by additional costs from April, including increases in national minimum and living wages and national insurance contributions. A recent survey of more than 500 nightlife businesses by the NTIA found 40% expect to close within the next six months without urgent financial support. The monitor showed the relative resilience of operators in the south and south east of England compared with regions including the east, south west and Wales. Late-night venues in capital cities have also been more robust than those in towns, with London, Edinburgh and Cardiff all increasing their share of their countries’ sites in the last five years, by four, three and five percentage points respectively. Karl Chessell, director – hospitality operators and food, EMEA at CGA by NIQ, said: “These numbers show businesses have adapted very well to consumers’ changing leisure needs and are shaping a new and dynamic night-time economy. However, extra costs and ongoing inflation, alongside hesitant consumers spending, mean many businesses’ cash reserves are rapidly being depleted.” NTIA chief executive Michael Kill said: “While our sector is remarkably resilient, modest figures of growth should not be mistaken for recovery. What we are seeing is the barest flicker of life after five years of near-collapse.”