Latest / Hospitality News Briefing / Wednesday 23 September: Pub and restaurant leaders unite to demand urgent tax reform from the new government
Transcript
- Good morning. This is the Hospitality News Briefing, from Ops Club. Episode four, Wednesday the twenty third of September. Here is what the UK trade press reported this morning, collated for operators. Pub and restaurant leaders are uniting to demand urgent tax reform from the new government, calling for a complete overhaul of V A T, business rates, and duty as Stonegate attracts three hundred million pounds of interest and Pepper Lunch prepares for a London debut. First, the numbers. Propel reports that Odeon ticket price hikes have failed to offset widening losses. A rise in average ticket prices to eight pounds and fifteen pence helped boost total revenue to over two hundred and twenty one million pounds, despite fewer people coming through the doors. The cinema giant still saw pre-tax losses widen to fifty two point four million pounds, although it does report a significant bounce in footfall in the summer of twenty twenty six. For operators, it proves that even dominant market share and premium pricing cannot always outrun heavy fixed costs. Also in Propel, Stonegate disposals are achieving high multiples. The group has sold eighty six venues so far this year at roughly fifteen times ee bit dah, and Heineken has now been linked to a potential three hundred million pound deal for three hundred more sites. On to acquisitions and investment. The Caterer reports that the co-founder of Giggling Squid has taken over Thai Express U K. The quick-service brand has changed hands as Pranee Laurillard acquires the U K arm of the business. The move signals continued confidence in the Thai segment despite the broader cost of doing business crisis, and it will be one to watch as new ownership looks to scale the grab and go format. The Caterer also has two quick briefs. PizzaExpress owners are exploring a potential sale as the casual dining stalwart tests market appetite for a change in ownership. Meanwhile, a major Whitbread shareholder is demanding board representation, pushing for a seat at the table following concerns over the group's recent market performance. Looking at new openings, Japanese giant Pepper Lunch is targeting London for its European debut. Propel reports that the fast-casual business, which operates nearly six hundred sites globally, has hired former Poke House lead Esther Arnanz as European CEO. This marks a significant new entrant into the experiential dining market, moving away from traditional service towards interactive, D I Y style cooking. Also from Propel, T R G Concessions is bringing Jones the Grocer to U K rail. A new exclusive agreement will see the Dubai-based deli and bakery brand rolled out across British railway stations, starting with London Waterloo. If you are looking at transit locations, this shows the growing demand for premium all-day food over basic grab and go options. Two more from Propel: Apple Music Hall will launch at Battersea this month with a six hundred capacity live music venue beneath the tech giant's London base, and Monkey Town is plotting a U K indoor play rollout with three sites opening in Merseyside and London next month. In people moves, BrewDog has recruited a Monster Energy veteran as Chief Marketing Officer. John Beasley joins the brewer from B A T to lead global marketing efforts, as reported by Propel. The Caterer notes that Creative Restaurant Group has named Milena Floyd as its new CEO to lead the group behind venues such as Endo at the Rotunda. Finally, other news from across the industry. Propel reports that the Greene King CEO has warned that only bold reform will save growth. Nick Mackenzie told operators that while government engagement is welcome, it means nothing without concrete changes to V A T, duty, and business rates. He argues the current tax burden is actively killing youth employment and stifling investment. Elsewhere, Scottish hospitality leaders are demanding a ten per cent V A T rate. Over one hundred chefs and business owners have written to the First Minister urging support for a lower tax threshold to match European averages. Tom Kitchin noted he is currently downsizing rather than growing due to the impossibility of balancing fair wages with sustainable menu prices. And one last brief from Propel: McDonald's is trialling third-party ads on menu boards, testing the sale of digital space to other brands at drive-thrus and kiosks to generate new revenue. Three things to think about before you get on with the day. If Michelin-starred chefs are choosing to downsize because the tax burden makes growth impossible, have you stress-tested your own five-year plan against a no-reform scenario? With Stonegate achieving fifteen times multiples on site sales, is it time to review your own portfolio and see if the cash value of your best-performing site is actually worth more than its projected ten-year earnings? McDonald's is now monetising its customer's waiting time with third-party ads - could your digital estate or kiosks be doing more to generate high-margin revenue beyond just taking orders? 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, The Caterer and Hospitality and Catering News - a signpost to their reporting, not a replacement for it. Scripted and read by AI from the Ops Club written edition. For longer conversations with the people running the sector, find the Hospitality Ops Club podcast. That is your briefing. Have a great day.