Rising consumer confidence about safety and the easing of Covid-19 restrictions helped Britain’s managed pub, bar, and restaurant groups to a modest increase in sales in January, the Coffer CGA Business Tracker reveals.

Total sales in the first month of 2022 were 3% higher than in January 2019 - a solid recovery from December, when heavy restrictions were in place and sales fell 11% below the levels of 2019.

Restaurants were the strongest performing segment of the market in January, recording 4% growth on January 2019, while pubs were up 2%, the latest edition of the Tracker, produced by CGA with The Coffer Group and RSM, shows.

Bars saw sales slip 3%, as the requirement for vaccination passes and lingering concerns about crowded venues impacted late-night visits.

Continuing the pattern of recent months, trading was significantly weaker in London than elsewhere in Britain.

Sales beyond the M25 were up by 6% on January 2019, but they dipped 8% within it, with office workers and tourists slow to return to the capital.

Karl Chessell, director - hospitality operators and food, EMEA at CGA, said: “After a bleak December for managed groups, January brought a reasonable revival. Growth for restaurants was particularly encouraging, and the challenging London and late-night markets should hopefully pick up as people return to offices and COVID-19 restrictions wind down. However, it’s important to note that sales growth remains below inflation. With some businesses vulnerable after a tough end to 2021, and consumers facing mounting costs of living, hospitality’s road to recovery still has a long way to run.”

Mark Sheehan, managing director at Coffer Corporate Leisure, said: “January saw steady improvement throughout from a slow start. It was only on 25th January that the government stopped guidance to work from home where possible. As working habits return closer to normal, we expect to see eating and drinking out to rebound steadily. London and other city centres are seeing very good numbers. There is cautious optimism for the sector.”

CGA collects sales figures directly from 60 leading companies for the January edition of the Coffer CGA Business Tracker.