Latest / Hospitality News Briefing / Wednesday 14 October: Marston's set to beat profit forecasts as Whitbread warns of 'hammering' from tax hikes
Transcript
- Good morning. This is the Hospitality News Briefing, from Ops Club. Episode nineteen, Wednesday the fourteenth of October. Here is what the UK trade press reported this morning, collated for operators. Marstons expects its profits to exceed the top end of market forecasts after a third year of growth, while the Whitbread CEO warns that the upcoming Budget must be a turning point for the sector to avoid a hammering from tax hikes. Starting with the latest results and trading updates, Propel Hospitality Info reports that Marstons anticipates its underlying pre-tax profit will beat the range of seventy six point one million to eighty three point two million pounds predicted by analysts. While like for like sales for the full year dipped one point two per cent, the fourth quarter was flat. That was bolstered by the World Cup and the rollout of the Grandstand pub format. The group says targeted investment in live sport and site refreshes is helping shield the bottom line from market volatility. Also in Propel, Norfolk McDonalds franchisee K Foley narrowed its pre-tax loss to six hundred thousand pounds. Turnover rose two point three per cent to sixty three point nine million pounds, with margins holding steady. Meanwhile, Sourdough South, the operator of The Stable and Three Joes, reported a one point four six million pound loss. Propel reports turnover fell to twelve point five million pounds as the group closed all but one Three Joes site while continuing to expand The Stable. On to who is buying and selling. Everyman has confirmed plans to delist from the A I M stock market in November to move to the P I S C E S private market. Propel reports this is intended to allow for faster strategic investment away from public market scrutiny. Elsewhere, Langton Capital notes that Starbucks has issued a rare statement to deny rumours of a potential takeover of the Mexican chain Chipotle. Looking at new openings and closures, Dumpling Xi is targeting ten U K sites following its debut on Shaftesbury Avenue, according to Propel. In Manchester, the beer hall Trading Route has shut its doors. Restaurant Online reports the venue blamed stagnant footfall, rising costs, and slow growth in the surrounding development. Propel reports that Roti Modern Mediterranean is planning five London sites for a twenty twenty seven launch. The U S brand is looking for West End flagships to move away from its current delivery-only model. In the hotel sector, Accor has debuted its economy brand, greet, in the U K. Hospitality and Catering News reports the first property is a one hundred and nineteen room site in Harlow focused on sustainability. Two hundred Degrees is set to open its twenty sixth coffee shop this weekend on Lincoln High Street. Propel notes this is the second location in the city for the Nero Group-owned brand. Also in Propel, Rocket Room has secured a site in Leicester for a four thousand square foot venue featuring A I darts and a Mexican menu. Finally for this section, Langton Capital reports that the London food-to-go concept Bewliehill has ceased trading and closed its two remaining sites. A few people moves to note now. Propel reports that Insomnia Cookies U K has named Candice Nesbitt as its new managing director. Over at WatchHouse, former Tortilla CEO Andy Naylor has been appointed as finance director, according to Langton Capital. The Caterer reports that Brindisa Tapas has hired Angel Zapata Martin as chef director. Turning to trends and market data, Propel reports that draught volumes in U K pubs rose one point three per cent in September. The average rate of sale was up three per cent and dwell times increased by twelve minutes. While lager and ale are in decline, stout and cider saw a surge. The data shows food spend grew by five per cent, outperforming the one point five per cent growth in drink spend. A few more from Langton Capital. Data from a payments provider shows consumer spending grew two per cent in September, a thirteen month high, though essential spending is still rising faster than discretionary spend. The U K ten-year gilt yield, which is what it costs the government to borrow for a decade, fell slightly to five point three nine per cent. And research in The Morning Advertiser shows that fifty three per cent of Brits now drink low-alcohol options monthly, with nearly all of them still consuming full-strength alcohol as well. Finally, some broader industry news. City A M reports the Chancellor is considering a tax holiday or extended National Insurance relief for businesses that employ workers under twenty five. This move aims to tackle the youth unemployment crisis which costs the economy one hundred and twenty five billion pounds a year. However, retail leaders warn that without business rates reform, they may still have to cut back on training programmes. In a major shift, Wagamama is scrapping its walk-in-only rule. Propel reports the chain will introduce reservations across all U K sites, moving away from the communal bench queue to meet demand for more certainty. Greene King is also changing its service style. Propel reports sixty five Farmhouse sites are introducing ticketless carveries to cut down on queues. And in Newcastle, the council will scrap the late-night levy at the end of October. Langton Capital reports that local operators have hailed the move as a victory for the night-time economy. Three things to think about before you get on with the day. 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, Langton Capital, Restaurant Online, Hospitality and Catering News, The Caterer, The Morning Advertiser and City AM - 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.