The total UK restaurant market is forecast to reach £52bn by 2017, the growth rate doubling from 1.3% to 2.5% over the next three years, according to Allegra Foodservice’s The UK Restaurant Market 2014 report.
Of this, branded/managed pubs are expected to be the strongest performing channel, as more pubs move from tenanted to managed, and will capture 50% of the £3.8bn overall growth in the restaurant market over the next three years.
The UK Restaurant Market 2014, which focuses on branded fast food, pubs, and restaurants, reports the value of the restaurant market is expected to reach £48.2bn in 2014.
Of this market, the branded segment is estimated to reach £17.6bn in 2014, growing 6.5% this year and outperforming the wider eating out market, with annual growth of 2.8%.
Speaking at the Allegra Restaurant Leader Summit in Cannes, Allegra Foodservice director Steve Gotham said: “The UK restaurant landscape is undergoing a period of significant change, with a renaissance of pubs, strong emergence of new fast food, and a plethora of street food markets nationwide. These concepts enable consumers to enjoy premium food in an informal setting.
Allegra said that the UK’s pub channel is experiencing a resurgence driven by branded pubs, which have improved their quality and offer significant value to the consumer. The branded pub channel grew 6.1% from 2013 to 2014. Wetherspoon, Hungry Horse and Harvester lead this segment in sales and estate size.
* For more information on Allegra Foodservice’s The UK Restaurant Market 2014 report, email Simon Stenning, Allegra Foodservice strategy director, at simon.stenning@allegra-fs.co.uk.
