Hospitality Industry in the UK Struggles Under High Energy Prices and Rising Food Costs

The hospitality industry in the UK is facing high energy prices and rising food costs, which have led to a third of businesses being optimistic about their future.

As a result, pubs, bars, and restaurants are struggling to make ends meet, with rising costs and falling revenue.

The average energy price increase has been 81% over the past year, and wholesale gas prices have dipped to their lowest levels since the conflict with Russia started.

However, with retail prices still falling back into line, and some businesses locked into long-term contracts, only 29% of hospitality businesses feel optimistic about the next 12 months.

The government's Energy Bill Relief Scheme, which provided a discount on gas prices for businesses, expired in March, but was renewed in January to help businesses.

However, the new scheme offers a lower level of support than the previous one and runs until March 2024.