Britain’s Brewing Down: A 0.8% Slip in Licensed Premises
In the most recent slice of the Hospitality Market Monitor by CGA, NIQ and AlixPartners, Britain’s roster of licensed pubs, bars and restaurants slipped by 0.8% in Q4 2023.
Crunching the Numbers
- 803 net closures over the last three months – that’s roughly nine per day.
- Compared with a 0.3% dip in Q3 2023, we’re looking at a sharper slide.
- Still, it’s a far cry from the era of 24 daily shutdowns back in mid‑2022, when post‑COVID hiccups were at their peak.
By the close of 2023, there were 99,113 licensed premises in Britain – sliding nearly 3,000 sites away from the same date last year, and slumping 16,000 short of the pre‑pandemic March 2020 count.
Independent Outings: The Hardest Hit
The independent scene is facing a tough squeeze: a 16.6% drop since early 2020. Managed groups, the slick pros of the hospitality world, have actually grown by 4.2% over the past two decades, while the lone wolves and leased operators are clutching at a 14%+ decline.
Pub Trends: Old Habits, New Wisdom
The classic pub has suffered a dramatic 43.6% decline over the last 20 years, reflecting a cultural shift from “drinking‑out” to “eating‑out.” Food‑led pubs are holding up better, with just a 7.6% drop since March 2020, whereas community and high‑street venues have fallen by 11.8% and 11.2% respectively.
Why the Shift Matters
What’s happening is a societal transformation. Youngpeople are steering clear of large late‑night watering holes, and the market is recalibrating around fresh, foodie experiences. This is part of a mega‑trend that’s been simmering for two decades.
Looking Forward to 2024
Both CGA’s Karl Chessell and AlixPartners’ Graeme Smith predict a brighter outlook once inflation eases and interest rates start to cool. They foresee a potential slowdown in closures and, possibly, the birth of new venues ready to sip into the future.
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