59% of pub owners think they will be open in 12 months

27-Sep-2022 - Last updated on 27-Sep-2022 at 16:09 GMT

Looking ahead: four in 10 pub owners and managers were optimistic about the future of their business (image: Getty/AsiaVision)

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Almost six in 10 pub operators think their venue will still be open in a year’s time, new research has found.

The study from virtual brand business Peckwater Brands of 200 UK pubs also revealed under half (43%) were optimistic about the future of their business while just more than a third (39%) had confidence in the Government’s support for the hospitality sector.

It was the first of a new piece of bi-monthly research The Local, which aims to monitor the state of the UK’s pub sector in the year ahead.

The research and accompanying report for this month (September) highlighted how economic trends were impacting the sector.

In addition, following the Chancellor’s recent statement including sweeping tax breaks and energy bill aid, most operators (68%) wanted a business rates cut while a similar proportion (67%) opted for slashing VAT.

Major issue

Some 62% felt the Government should amend visa rules to help non-UK residents to work in hospitality roles.

Inflation was labelled as a ‘major issue’ by 63% of those surveyed while nearly half (48%) said the same about rising interest rates.

Meanwhile, 47% cited the prevalence of supply chain issues and just over a third (35%) admitted to struggling to retain and recruit enough staff.

Pertinent issues

Peckwater Brands CEO Sam Martin said: “Rising costs and reduced consumer spending post serious threats to many UK pubs and the results of our first The Local survey show just how challenging the current climate is. Confidence is low, the outlook for many pubs is somewhat bleak.

“Through this new research initiative, we hope to shed light on the sentiments, struggles and strategies of these businesses from which, action can be taken. This is crucial.

“The pub is a British institution, a communal space that brings us together. It must be supported.

“Clearly, managing inflation, attracting customers and retaining staff are all pertinent issues. For me, it is the pubs that are proactively seeking ways to remain competitive, improve efficiency and offer a better experience to punters that will stand the best chance of weathering this storm."

He added the pub sector's response will be intriguing and hoped the research can help operators steer their own path through this difficult time.