Survey reveals Xmas trade down for 50% of SLTA members

31-Jan-2023 - Last updated on 31-Jan-2023 at 12:24 GMT

Urgent call: SLTA members call on local and national Government's for more support for the sector after snapshot survey (Pictured: SLTA managing director Colin Wilkinson)

Almost half (45%) of operators are facing energy cost increases of more than 250%, a snapshot survey from the Scottish Licensed Trade Association (SLTA) has revealed.

The data, released today (Tuesday 31 January), also showed trade was down for 50% of the 180 respondents over Christmas and New Year compared with the last unrestricted festive season, while 76% called for more Government support to survive 2023.

SLTA managing director Colin Wilkinson said: “Our snapshot survey covers all types of licensed premises and is an indicator of the key issues facing the wide range of small to large businesses which trade within the wider hospitality sector.

Quantitative research

“The survey is based upon quantitative research from outlets covering the length and breadth of the country and is supported by major food and drink chains and independent pubs, bars and hotels in Scotland’s hospitality sector."

Moreover, two-fifths of venues had been forced to further restrict opening hours in the wake of post-Brexit staffing issues with outlets facing further legislative challenges on Scotland’s Deposit Return Scheme (DRS) and proposed changes to alcohol advertising and promotion.

Wilkinson added: “Our members are concerned about the impact of Scotland’s deposit return scheme (DRS) and the proposed restrictions on alcohol advertising sponsorship which will impact on many everyday aspects of pub life – from sponsoring the dominos team to serving local beers in branded glasses.”

Urgent call

Additionally, the survey, conducted over December 2022 and January 2023, also revealed 40% of venues faced added costs via rateable value increases while 60% have been closing early or full days and won’t be operating to their full opening hours during Q1 this year.

Wilkinson concluded: “We previously warned it wouldn’t be economically viable for many outlets to remain open and we are now seeing this come to fruition with a knock-on impact on tourism and Scotland’s wider food and drink sector, including the supply chain.

“Christmas and New Year 2022 was the first time since 2019 our pubs and bars were fully open without Covid restrictions, but the feedback in our survey shows half of outlets were still in decline versus the last ‘normal’ festive season trading period.

“Adding in increases in rates, operating costs, staff shortages and uncertainty on energy, we urgently call on local and national Governments to help our sector, and the associated jobs in the wholesaling, brewing, distilling and food-producing sectors.”