Pubs experienced a boost in April as sunny spring weather led Brits to prefer outdoor beer gardens over indoor restaurants. According to the latest CGA RSM Hospitality Business Tracker, like-for-like sales growth at pubs reached 9.1 per cent year on year. Sales across all hospitality outlets were 4.2 per cent ahead of April 2024, a figure that comfortably surpasses the UK’s recent inflation rates, although restaurant sales only increased by 0.9 per cent and bar sales declined by 4.5 per cent.
Saxon Mosely, Head of Leisure and Hospitality at RSM UK, remarked that the overall increase in sales might “signal a shift in consumer behaviour” as better weather translates into higher spending. “Pubs were the clear winners from the spring sunshine, but other parts of the hospitality sector can also take encouragement from the broader rise in activity,” Mosely added.
While consumer confidence is still shaky, it appears to be entering a recovery period. Three separate consumer confidence surveys saw an increase in May after a challenging “awful April” due to high costs. Neil Bellamy, Consumer Insight Director at GfK, noted that “the measure for personal finances looking ahead for the next 12 months has moved out of negative territory… there’s a similar improvement in how consumers see the coming year’s general economy.”
Improved sentiment is welcome news for Britain’s hospitality sector, which has been struggling with high taxes and rising costs. Business rates, employers’ national insurance contributions, and wages have all increased pressure on pubs’ thin margins this year. Rising food costs have also been a significant challenge, as highlighted by All Bar One-owner Mitchells and Butlers.
However, there is room for cautious optimism: alongside RSM’s positive figures, several major pub chains, including Wetherspoons, Marston’s, and Young’s, have reported increased revenue and profit. Karl Chessell, Hospitality Leader at CGA, said pubs had a “very bright start” to 2025. “It is hopefully a sign that some consumers are spending a little more freely, though a disappointing month for restaurants suggests others were simply switching from eating out to drinking out. Ongoing high costs for operators, including new labour bills from April, continue to pile pressure on margins, but while the sun shines, pubs with outdoor spaces can expect strong trade.”