Restaurants, Pubs and Bars Finish 2023 Strong, Fueled by a Bumper December

Britain’s Hospitality Pioneers Ring in a Strong December Sales Boost

December’s latest CGA RSM Hospitality Business Tracker spurred some exciting news: the country’s top pub, bar, and restaurant conglomerates posted year‑on‑year sales growth of 8.8 %. That’s a bold jump from November’s 4.0 % and more than twice the UK’s current inflation rate.

Key Highlights From the Tracker

Pubs topped the list with a 9.6 % rise.
Restaurants walked away with an 8.3 % uptick.
Bars finally bounced back from a stretch of negative numbers, showing a solid 5.6 % growth.
The On‑the‑Go segment, a brand‑new booth in the Tracker, added 3.1 % revenue.

London vs. The Rest of the UK: Who’s Winning?

For the twelfth time in thirteen months, the capital pulled ahead:

Sales inside the M25 surged by 11.2 %.
Growth outside the capital settled at 8.1 %.

Voices From the Front Lines

Karl Chessell (CGA by NIQ) put it best: “December’s figures show pubs, bars, and restaurants still shining during the festive rush. The extra cash is crucial as we head into quieter months. Still, cost and labour pressures keep many under the gun, so staying locked on solid hospitality fundamentals is the key to keeping real‑term growth alive in 2024.”

Paul Newman (RSM UK) echoed the sentiment: “London’s pubs and restaurants lead the festive charge for 2023. In 2022, train strikes stole the show, but this holiday was arguably the first proper Christmas after COVID for these operators. Restaurants inside the M25 saw an impressive 11.8 % rise, pubs close behind at 11.5 %. Outside the capital, restaurant growth was solid yet more modest at 8 %.”

He further warned: “A big Christmas haul doesn’t erase ongoing struggles—smaller independents are battling higher borrowing costs, energy bills, and ingredient prices. The first quarter is always a tough stretch with lower footfall, rent due, and VAT spikes. These pressures already forced several high‑profile restaurants to shut their doors. After already weathering the post‑COVID whirlwind, it’s a heartbreak that these businesses now face increasing living wages and business rates from April, turning an already delicate balance into a crisis.”

What This Means For 2024

With impressive year‑on‑year gains, the hospitality sector feels buoyed—yet the road ahead is littered with cost challenges. Operators at all levels will need to keep their focus razor‑sharp on the core of great hospitality to keep the upward trend rolling through the upcoming year.