June has been another significant month for the hospitality industry. While new venues continue to open across the UK, operators are also facing increasing financial and staffing pressures. Here’s our round-up of the stories shaping the sector in June, taken from The Caterer and other news.
Hospitality closures continue to rise
The biggest talking point this month has been the growing number of hospitality businesses at risk of closure.
New industry research found that one in six hospitality businesses could close within the next 12 months, with 23% of operators now trading at a loss, up from just 15% three months ago. Even more concerning, 5% of businesses say they are no longer financially viable. The survey represents more than 16,000 hospitality venues across the UK.
Recent closures highlighted across the industry include restaurants such as Le Vacherin, Moro and Maya Manchester, while many well known operators have spoken openly about the financial challenges they're facing. Rising employment costs, National Insurance increases, inflation and energy bills continue to put enormous pressure on already tight margins.
New openings show confidence in hospitality
Despite the challenges, it's not all doom and gloom.
June also brought a host of exciting new restaurant and gastro pub openings across the UK, demonstrating that confidence in hospitality remains. New concepts, independent restaurants and major investments continue to create opportunities for chefs and hospitality professionals.
Every new opening brings recruitment challenges, particularly during the busy launch period. Finding experienced chefs quickly can be the difference between a successful opening and a stressful first few weeks. That's where Bookachef can help, by connecting operators with skilled freelance chefs who can provide kitchen support when it's needed most.
Summer heat creates new challenges for kitchens
June's heatwave highlighted another issue facing hospitality businesses, working conditions in commercial kitchens.
With temperatures soaring, some venues were forced to reduce trading hours or temporarily close kitchens to protect staff wellbeing. Working in a busy kitchen is demanding at the best of times, and extreme heat only increases fatigue and pressure on teams. When chefs need time away or businesses experience unexpected absences during busy periods, having access to reliable temporary cover becomes even more important.
VAT's the problem
Perhaps the biggest campaign gathering momentum this month is VAT's the Problem, spearheaded by chef Tom Kerridge alongside UKHospitality, the British Beer & Pub Association and other leading industry organisations.
The campaign is calling for hospitality VAT to be reduced from 20% to 10%, bringing the UK more in line with many European countries. Supporters argue that a VAT reduction would help businesses invest in jobs, protect venues, encourage growth and safeguard the future of the hospitality sector.
The campaign comes as research reveals that one in six hospitality businesses are at risk of closure, with almost nine in ten operators saying a VAT reduction would be the single most effective measure the Government could introduce.
You can find out more about the campaign and add your support by visiting www.vatstheproblem.co.uk.
How Bookachef is supporting hospitality
The hospitality industry continues to prove its resilience, but flexibility has never been more important.
Whether you're opening a new venue, managing seasonal demand, covering unexpected absences or supporting your team during challenging trading conditions, access to experienced chefs can make all the difference.
At Bookachef, we're proud to support restaurants, gastro pubs and hospitality businesses across the UK with professional chef cover when it's needed most.