Northern cities lead bounceback in hospitality sales

01 March 2023 by
Northern cities lead bounceback in hospitality sales

Northern cities such as York and Newcastle are leading a bounceback in industry sales after the pandemic, according to new research.

The State of the North study from CGA by NielsenIQ showed that average sales per hospitality venue in York increased by 16% between 2019 and 2022, which was almost four times the national average growth rate of 4.1%.

York was closely followed by Newcastle, which saw a 14.2% rise in restaurant and bar sales, while there was a 10.5% increase in Chester and a 6.9% boost in Manchester.

In contrast, sales in London have dropped by 6.5% compared to 2019 levels. The number of licensed restaurants and bars in the capital is also now 17.7% lower than it was before the pandemic.

There has been a 15.8% net decline in the number of licensed restaurants and bars across Britain since 2019.

However, Northern cities have seen a lower net decline. Liverpool was least impacted and only saw a 2.4% fall in the number of premises, while Newcastle experienced a 5.8% drop.

The study has been released ahead of the Northern Restaurant & Bar trade show, which will be held in Manchester on 14-15 March. It said the "dynamism and innovation" of northern England hospitality was driven by the region's local entrepreneurs, as well as investment from national operators.

Chris Brazier, group event director of Northern Restaurant & Bar, said: "Hospitality operators in cities like Liverpool, Manchester, Sheffield, and Newcastle have suffered just like the whole hospitality sector, with huge issues around the cost of utility prices, food inflation, and staffing issues.

"While challenges remain, it's encouraging to see operators being innovative and looking to the future. It offers a much-needed burst of positivity to see so many new concepts, sites and launches, and to see discerning but happy consumers flooding through the doors."

Karl Chessell, CGA's director - hospitality operators and food, EMEA, added: "These figures emphasise the strength of the restaurant, pub and bar scene in the north of England.

"Businesses here have dealt superbly with the triple whammy of COVID-19 restrictions, high inflation and rail strikes, and consumers clearly remain as attracted to venues as ever despite the pressure on their disposable incomes."

Northern Restaurant & Bar 2023 will welcome over 8,500 visitors and 300 exhibitors for two days of education, networking and business.

TagsCGA and NRB
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