At Mayfair’s luxurious Indian restaurant Benares, this week should have been a time for celebration.

“Our Michelin plaque has just arrived,” Sameer Taneja says proudly. It marks the second time the executive chef – regarded as one of London’s most exciting culinary names – has retained the accolade of one Michelin Star.

But Taneja has other things on his mind. “The owner is having to take a hit on some of our dishes,” he admits.

Benares, like other high end restaurants, has not been immune from soaring food costs. Taneja has been loath to pass higher prices on to customers over fears they could deter some from coming altogether.

Those efforts may ultimately be futile.

“When I hear that overseas visitors are going elsewhere in Europe because of policies like the tourist tax, it does make me worried,” Taneja says. “We were hopeful it could be a beautiful summer for us.”

Now, he is less sure.

Restaurants and retailers across London are starting to feel the same pressure, as policies begin to dampen demand for travel to the UK capital.

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