The start of the FIFA World Cup boosted sales for pubs by +8.1% in November, according to the latest Coffer CGA Business Tracker.
However, restaurants fared less well over the month, with like-for-like (lfl) sales dipping 0.8% on November 2021, while sales in the bars segment were down 8.6%.
Overall, lfl sales for managed pub, bar and restaurant groups in Great Britain were up by 3.7% last month, compared to 2021, with lfl growth of 5% versus 2019, but with inflation running at more than 11% over the past year it put sales significantly down in real terms.
Karl Chessell, director - hospitality operators and food, EMEA at CGA, said: “It was a positive November for pubs screening World Cup matches, and another strong month for London as workers and visitors continue to return to the capital, especially ahead of the festive season.
“But with restaurants and bars trading way behind the rate of inflation, consumer spending under strain and rail strikes threatening festive footfall, it will be a challenging December for managed groups.”
The Tracker also found that sales within the M25 also performed more strongly than sites in the rest of the UK, with growth of +6.2% and +3% respectively.
David Coffer, chairman of The Coffer Group, said that on the face of it, these figures are very promising especially in relation to turnover, “but the consumer price index figures obviously counter this progress dramatically, as well as the deterioration of turnover because of a wide range of industrial actions - in particular, those relating to trains and local transport”.
“With the impending strikes over the festive period there will certainly be further sector trading damage, but it is hoped that there will be extensive intolerance and resistance from the public wishing to seasonally celebrate for the first time in three years. It is hoped that this will see a dilution of the effect that is feared.”
Paul Newman, head of leisure and hospitality at RSM UK, added: “The World Cup is providing some welcome respite as fans come together to celebrate in their local pubs but industrial unrest alongside fragile consumer confidence will only add to restaurant operators’ woes and could leave a number of under-capitalised businesses teetering on the edge as New Year approaches.”
