“Energy prices are by far the biggest threat to our business and the hospitality industry as a whole,” one company said in the ONS’s Business Insights and Conditions Survey .
UKH chief executive, Kate Nicholls, said: “The hospitality sector is extremely vulnerable to energy price fluctuations and have been badly affected by the ongoing energy crisis. The soaring costs are hitting businesses that have not fully recovered from the pandemic, may be carrying substantial debt as a result, and are facing a downturn in consumer spend due to the cost of living crisis.
“Many have already taken drastic measures, reducing trading hours or even days on which they open and we’re not even into the coldest months yet. These rising costs are compounded by inflation on key ingredients, severe staffing shortages and a cost of living crisis that is leading customers to see a pint in their local as an unaffordable luxury.”