Latest / Hospitality News Briefing / Monday 28 September: BII demands 10% VAT for pubs as survey warns thousands of sites are at risk of closure
Transcript
- Good morning. This is the Hospitality News Briefing, from Ops Club. Episode seven, Monday the twenty eighth of September. Here is what the UK trade press reported this morning, collated for operators. The B I I has urged the Chancellor to back a ten per cent V A T rate for pubs, warning that two in five members could shut if the tax burden increases in the next Budget. Starting with trading, Haven has reported record turnover as private equity investment hits seven hundred million pounds. According to Propel, revenue at the holiday park operator reached nine hundred and eight point two million pounds for the year, supported by a significant capital injection since its twenty twenty one acquisition. Profits rose to one hundred and twenty seven point seven million pounds - a three point five per cent increase - as the group adds its fortieth site in West Sussex. Long-term investment in facilities is clearly paying off through higher site yields. Two other updates from Propel show a mixed picture. Losses have widened at Veladail despite record revenue of twenty six point one million pounds, as the London hotel operator saw pre-tax losses hit three point three million pounds due to rising labour and operating costs. Meanwhile, W S H Restaurants reported a three point two million pound loss following site impairments, with a two point five million pound write-down on two sites dragging the group into the red despite turnover climbing to over five million pounds. On to who is buying what. The family-owned Trust Inns has picked up two Dorset properties to add to its three hundred and fifty strong leased estate. As Propel reports, the deal follows the decision by Brewhouse and Kitchen to offload freehold assets that do not fit its long-term brand focus, showing that established tenanted operators are still hungry for well-located South of England freeholds. Also in Propel, the serial investor Luke Johnson has warned he will stop backing British businesses if the government aligns capital gains rates with income tax in the upcoming Budget. And the C J P Group has seen a profit boost after its Nottingham McDonald's expansion. Franchisee Chirag Pandya reported a one hundred and forty thousand pound profit for a nine-month period as the business prepares to integrate two more city sites. Moving to new openings, Open Restaurant Group is moving into a former Usher site in Liverpool. The Caterer reports the group will launch Seel and Slater in the former Wreck Bistro, featuring an Italian-American grill and a nineteen forties style jazz cocktail bar. The new concept marks the company's ninth site and follows the retention of the entire existing site team. In other opening news, Propel reports that Jersey Mikes is targeting Central London for its autumn debut, banking on its hot sandwich range to overcome the U K climate as it prepares to open in Argyll Street. J D Wetherspoon is spending one million pounds on a thatched-roof Dorset conversion, reopening a former Whitbread site in Ferndown tomorrow. And BigHospitality reports that an independent food hall is set for a three hundred million pound Manchester development at Medlock Square, featuring local operators including Nells Pizza and The Good Burger. A few moves to note, all reported by Propel. Starbucks has promoted Darren King to U K Managing Director after he previously led store development and the licensed side of the business. Marstons M D Justin Platt is joining the Saga board as a non-executive director in early twenty twenty seven. And Carrs Bakery has named its first non-family Managing Director, promoting Gavin Astley to lead the Bolton-based business as it targets further expansion across the North West. Finally, a look at the latest market data. A B I I survey has found that only twenty five per cent of publicans are turning a profit. As Propel reports, the trade body has written to the Prime Minister warning that two in five sites will likely close if taxes rise in October. Publicans stated that a V A T reduction to ten per cent would be immediately reinvested into staff hours and local supply chains. Separately, Propel notes that teens and vibe are driving the evolution of family dining, with operators reporting a forty seven per cent increase in visit frequency by shifting focus from kids colouring books to stylish, informal atmospheres. In other industry news, the Loungers chair Alex Reilley has labelled the government's two hundred and ten million pound high street fund insufficient, arguing it is too small to fix boarded-up high streets without massive private sector partnership. And Walmart is moving into hot food delivery through a partnership with Papa Johns, integrating external restaurant orders into its delivery app for the first time. Both stories were reported by Propel. Three things to think about before you get on with the day. With only one in four B I I members currently profitable, have you stress-tested your P and L against a potential hike in employer national insurance or capital gains tax this autumn? Family visits increased by nearly half for one operator after introducing a subscription model - could a similar loyalty structure fix your quiet mid-week shifts? If major retailers like Walmart are now delivering third-party hot food, are you prepared for even stiffer competition for the at-home dinner occasion from non-traditional rivals? The full rundown is at ops dash club dot com, where every story links back to the publication that reported it. Today's pulled from Propel Hospitality Info, The Caterer and BigHospitality - a signpost to their reporting, not a replacement for it. Scripted and read by AI and published without a human check, so check the original before you act on anything. For longer conversations with the people running the sector, find the Hospitality Ops Club podcast. That is your briefing. Have a great day.