United Kingdom


  • Industry: Leisure
  • Type: Press release
  • Date: 14/02/2012

Mild post-festive hangover for UK pubs and restaurants, says Coffer Peach Business Tracker 

  • Eating-out slows in January after bumper December
  • Like-for-like sales down 2% on 2011


Leading UK pub and restaurant groups saw collective like-for-like sales fall 2.1% in January against the same month last year - although total sales, which include the effect of new openings, were still ahead 2.2% on January 2011.


The figures come from the Coffer Peach Business Tracker*, the industry sales monitor for the UK pub and restaurant sector, which collects monthly performance data from 23 major operators.


“The market won’t be too disappointed by these latest set of numbers, as they come on the back of a bumper December for the market and in a traditionally quiet trading month,” said Peter Martin of Peach Factory, the business intelligence specialist that produces the sector Tracker, in partnership with KPMG, UBS and the Coffer Group.


The market recorded collective like-for-likes up 9.9% in December on the same period last year, with total sales ahead 13.7%.


“Also, sales in January last year benefited from a bounce-back in spending after a poor, snow-hit December, when many people stayed home. As ever, the weather, and in particular snow, is a major influence on trading, as we have already seen in the first week of this February,” added Martin.


“Restaurant and pub operators are generally optimistic about prospects for their businesses this year. Despite all the economic difficulties of the past two years, the market has shown real resilience, with the public still willing to go out to eat and drink. Sales figures have been positive for the majority of that time,” he added. (See table below)


Richard Hathaway, KPMG’s Head of Travel, Leisure & Tourism, said: “The January figures reveal a relatively slow start to 2012 and the likely impact of the current cold weather in the UK means February will probably not look very different. Trading conditions remain tough and they are likely to be with us for a while. However, given the tough economic environment, low consumer confidence and the continuing squeeze on disposable incomes, the growth that has been achieved over the past 18 months is remarkable and shows just how resilient the UK’s eating and drinking out market is.”


Mark Sheehan, managing director of Coffer Corporate Leisure, added:  “January was a tough trading month for pub and restaurant operators, with many experiencing the hangover after a relatively strong Christmas period. Although consumer confidence is weak, the outlook does appear rosier and investors and aggressively looking to invest in the sector as an alternative to retail.”


Jonathan Leinster, Head of UBS European Leisure Research, commented: “Concerns over UK consumer spending are not new, and are likely to linger. Nevertheless, the operational performance of most pub groups has been relatively solid of late, with two-year growth last negative in May 2011. Despite rising unemployment, consumers are still happy to allocate discretionary spend to eating and drinking out. The latest UBS UK household cash flow published in November indicates that cashflow pre-savings should rise 1.6% in the current year, a significant improvement on 2011. We maintain ‘buy’ ratings on JD Wetherspoon, Marston’s and Greene King.”


Pub and restaurant group monthly sales performance for past 12 months

   Feb  Mar  Apr  May  Jun  Jul  Aug  Sep  Oct  Nov  Dec  Jan
 LFLs  3.1%  0.9%  3.8%  -0.3%  3.9%  1.0%  0.6%  2.8%  0.9%  2.1%  9.9%  -2.1%
 Total  5.1%  3.4%  6.2%  1.7%  4.7%  3.1%  3.7%  6.9%  5.1%  6.2%  13.7%  2.2%

Source: Coffer Peach Business Tracker

Coffer Peach Business Tracker is powered by Demographix

About Coffer Peach Business Tracker
Peach Factory collects sales figures directly from 23 leading companies every month. Participants include Mitchells & Butlers (owner of Harvester, Toby, Browns, All Bar One etc), Pizza Hut, Whitbread (Beefeater, Brewers Fayre, Table Table), Gondola (PizzaExpress, Zizzi, ASK, Byron), Tragus (Café Rouge, Bella Italia, Strada), Stonegate (Slug & Lettuce, Yates’), Spirit Group (Chef & Brewer, Fayre & Square), TGI Fridays, Orchid Pub Co, Wagamama, Novus (Tiger Tiger), Youngs and Fullers.


For more comment contact:
Peter Martin, Peach Factory
01704 550383(office); 07889 209896 (mobile)


Claudia Robinson, Coffer Group
0207 299 0709


Katrin Boettger, KPMG
0207 896 4232


Richard Morton, UBS Media Relations
+44 20 7568 0175

About Peach Factory:
Peach Factory is a specialist business intelligence business, providing insight, analysis and access to the eating-out and drinking-out markets. It produces sector research and operates the Peach Network business network for senior executives across the sector. Business Tracker collects sales data from participating companies on a totally confidential basis to produce aggregated figures for the sector as a whole every month.


About Coffer Group
The Coffer Group is the leisure property industry’s leading advisory business. Built on nearly 40 years’ experience in the sector, the group combines the UK’s leading agency and corporate advisory leisure property businesses, Davis Coffer Lyons (DCL) Coffer Corporate Leisure (CCL) and hotels specialist division Coffer Hotels. The group deals exclusively with all types of leisure property, covering restaurants, bars, nightclubs, pubs, shopping centre food outlets, health and fitness, leisure schemes, theatre, golf courses, hotels and casinos.  Its services are comprehensive including both consultancy and transaction based advice on single businesses and properties through to multi-million pound portfolios.


About KPMG:
KPMG LLP, a UK limited liability partnership, is a subsidiary of KPMG Europe LLP and operates from 22 offices across the UK with nearly 11,000 partners and staff.  The UK firm recorded a turnover of £1.6 billion in the year ended September 2010. KPMG is a global network of professional firms providing Audit, Tax, and Advisory services. We operate in 150 countries and have more than 138,000 professionals working in member firms around the world. The independent member firms of the KPMG network are affiliated with KPMG International Cooperative ("KPMG International"), a Swiss entity.  KPMG International provides no client services.


About UBS:
UBS is a leading global wealth manager, a leading, global investment banking and securities firm and one of the largest global asset managers. In Switzerland, UBS is the market leader in retail and commercial banking.