3/25/2025 10:01:00 AM
The national average is poised to rise above that watermark for the first time, with publicans blaming tax rises introduced by the chancellor, Rachel Reeves. The sobering milestone is likely to be reached next month, according to research by Frontier Economics, with the average price of a pint of beer on course to hit £5.01, up from £4.80. The British Beer and Pub Association (BBPA), which commissioned the research, said landlords had been left with no choice but to raise prices to offset tax rises that are due to come into force in April, reports The Guardian.
The pubs division of Kent and south east operator and brewer Shepherd Neame has performed strongly in its latest financial results, says Pub & Bar. Overall, revenue for the business was £85m for the 26 weeks to 28 December 2024. This decrease of -4.5% compared to £89m generated in H1 2024 is a result of lower revenue in the brewing and brands business. Its pubs division had a positive six months. Underlying operating profit was £7.3m (H1 2024 £6.8m), an increase of +7.4%. Statutory profit before tax was up at £4.3m (H1 2024 £1.1m). Underlying profit before tax was £4.2m (H1 2024 £3.8m), an increase of +9.9%. Based on the increases in NLW and NICs, Shepherd Neame says the annualised impact is £2.6m, with the incremental costs commencing in April and impacting the final quarter of its 2025 financial year.
BWH Hotels GB brand has revealed its hotel partners have invested over £18.5m into refurbishing seven independent hotels over the past year, advises Hotel Owner. The Queen at Chester Hotel has undergone a £5m refurbishment of its 104 bedrooms in the Queen Wing, alongside revamped bar and dining areas. Mount Pleasant Hotel, in Doncaster, has also seen £460,000 invested into its facilities, and adding eight long-stay units. Meanwhile, in the South, Best Western Premier Dover Marina Hotel and Spa has undergone a major £8m transformation, expanding to 122 rooms. As the largest group of independent hotels in the UK, BWH Hotels GB, including brands like Best Western and WorldHotels, said it is supporting its hoteliers to invest in their properties by "providing financial security through a steady stream of bookings".
A well-established brewery and pub operator in the South West has announced a consultation process that could see a reduction in staff numbers as it navigates rising employment costs. St Austell Brewery, which has been at the heart of the region's brewing and hospitality industry for 174 years, employs over 2,000 people across its operations. The company has confirmed it is reviewing its operational structure in response to significant financial pressures brought on by increasing employment costs advises CLH News.
JD Wetherspoon's profits fell in the first half as solid sales growth failed to offset the pub group's growing costs, reports This is Money. Boss Tim Martin warned high tax and labour costs will 'weigh heavily' on the entire pub industry in the months ahead as Wetherspoons posted a 4.3 per cent fall in operating profits to £64.8million for the six months to 26 January. Wetherspoons saw like-for-like sales growth of 4.8 per cent for the period, but its operating margin fell from 6.8 to 6.3 per cent as higher labour and utility bills added £30.6million to its cost base. It comes ahead of changes to the minimum wage and national living wage, and an increase to employer national insurance contributions from next month. These are expected to add a further £60million per year to Wetherspoon's costs - roughly equivalent to £1500 per pub, per week.
The Bank of England keeps base rate at 4.5% amid economic struggles and price pressures, says the FT...