Hospitality businesses faced another difficult month as poor weather, rising costs and weaker consumer confidence hit spending across pubs, bars and restaurants.
Britain’s hospitality industry suffered another difficult month in April after rising operating costs, poor weather and weaker consumer confidence combined to hit spending across pubs, bars and restaurants.
The latest NIQ RSM Hospitality Business Tracker revealed like-for-like sales across hospitality groups fell by 0.4% compared with April 2025, marking the third month of negative growth out of the last four.
For many operators, the figures underline just how challenging trading conditions have become in 2026, with businesses facing soaring employment costs, high energy prices and consumers becoming increasingly cautious with discretionary spending.
Pub Sales Slip After Strong 2025 Comparisons
Pubs saw sales fall by 0.2% in April, making it the sector’s first negative month since early 2025.
Industry analysts pointed to the weather as a major factor behind the decline. April last year brought unusually warm and sunny conditions, helping beer gardens and outdoor terraces thrive. This year’s colder and wetter weather kept many customers indoors — including over the important Easter trading period.
Many operators reported quieter weekends and lower footfall in rural and destination venues that rely heavily on outdoor trade during spring.
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Restaurants Barely Hold Ground
Restaurants managed only marginal growth of 0.1% in April, a sharp slowdown from March when the sector recorded growth of 2.5%.
The slowdown reflects mounting pressure on household budgets as consumers continue to cut back on eating out and social spending.
Operators across the sector are also continuing to battle rising wage bills, supplier increases and higher utility costs, leaving many businesses fighting simply to maintain margins.
Bars Continue To Face Heavy Pressure
The bar sector experienced the steepest decline, with like-for-like sales dropping by 5.8%.
April became the weakest month for bars since October, continuing a difficult period for late-night venues and city-centre operators.
Recent closures involving major operators including BrewDog and Revolution Bars Group have highlighted the growing strain within the sector.
Many businesses are now reducing staffing levels, shortening trading hours or reviewing expansion plans as costs continue to rise faster than sales.
London Performs Slightly Better
The Tracker showed London venues slightly outperformed the rest of the country.
Like-for-like sales within the M25 rose by 1.9%, while venues outside London saw sales fall by 1.3%.
Industry analysts suggested stronger tourism levels and business travel in the capital may have helped cushion the impact.
Hospitality Leaders Warn Of Tough Months Ahead
Karl Chessell, Director – Hospitality Operators and Food, EMEA at NIQ, warned that hospitality businesses remain under serious pressure.
He said like-for-like growth has now remained below inflation for 12 consecutive months, adding that rising oil prices and cautious consumer spending are making recovery increasingly difficult.
Meanwhile, Saxon Moseley, Head of Leisure and Hospitality at RSM UK, said wider economic uncertainty and rising fuel costs are continuing to damage consumer confidence across the country.
Operators across the industry are now hoping a busy summer season, major sporting events and improved weather could help boost trade during the coming months.
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Industry Continues Fighting To Stay Competitive
Despite the difficult conditions, some hospitality groups are still cautiously expanding.
Total sales — including new venues opened during the last 12 months — increased by 2.8% in April, although this remains below the UK inflation rate.
Many operators are now focusing heavily on events, outdoor trading, seasonal menus and value-driven promotions in an effort to attract customers back through the doors.
For pubs especially, a strong summer could prove vital after a slow and weather-affected spring.
Conclusion
Britain’s hospitality sector continues to face one of its toughest trading environments in years, with rising costs, unpredictable weather and cautious consumer spending creating mounting pressure across pubs, bars and restaurants.
With summer now approaching, many operators will be hoping warmer weather and major sporting events can help bring customers back and provide some much-needed momentum for the rest of 2026.
