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It is no understatement to say that by pretty much any metric it has been a challenging start to 2025. Increasing costs and diminishing consumer confidence, as well as global uncertainty, has had a big impact on premises with some commentators and organisations predicting that up to 80% of pubs and bars may struggle to make any profit this year. Rather than focussing on the negative, let’s focus on what we can do to try to take a positive outlook in these tough times.
Short-term
Any real understanding of what is possible starts with a proper assessment of where you are and how best to trade in the circumstances. Kneejerk reactions such as raising prices across the board or closing on quiet days, for instance, will often seem, on the face of it, to deal with the core problems of raising costs. However, they often have knock on effects that in fact cause more harm than good. Taking the time to audit your business in as much detail as you can and only then assessing what is and isn’t working- as well as being open minded about this assessment and where it leads- will yield better solutions.
It might sound pithy, but a positive attitude and drive to succeed in tough circumstances is essential. An inspirational example I often go back to from Covid, is a restauranteur I know who, rather than burying his head in the sand, literally tied a bandana around his head and came into the restaurant every day to work out what practical steps he could take to survive. It started with a reflection that we were all in this together and built from there. Not all his ideas worked, but even those that didn’t he eagerly publicised and built up a lot of goodwill with staff and in the community. He is still going strong.
If you identify areas where you think you can enhance your business, check whether there are legal impediments to what you want to do, in particular, whether planning or licensing changes are needed. Do not be put off by this. If your assessment is that these are necessary for the business, then look at implementing the necessary changes.
Speak up
The hospitality industry is the only sector where personal relationships and interactions define pretty much everything we do. How many times have customers bent the ear of you or a member of staff in time of need? How often have friends brought friends to your venue to chew the fat when someone is struggling? Why should it be different when it is your time to reach out?
Customers will, by and large, support their local businesses if they understand that these are difficult times and it has been explained to them why prices are rising, for instance. Keeping that goodwill is essential and reaching out is the key to this.
Likewise, seek help if you need it. This is a sincere and heartfelt plea. Bottling up the anxieties can only do you harm. Reach out to industry organisations and charities- many have helplines that are free to anyone in the industry. And most importantly, take time to celebrate you, your staff and your customers. Summer is coming and optimism flourishes in the light!
Q&A
Q: Do we know yet when and if digital ID will be available for alcohol sales?
A: the enabling legislation is wending its way through Parliament as we speak, although there are still various stages left in the process. The Government are suggesting this is likely to come into force by Christmas this year.
Q: My license is being reviewed by the Police – what can I do?
A: On a review your licence could be revoked so it is critical that you act quickly and engage with the process. Seek specialist advice as to how you can address the concerns that have been raised. Speak to, and look to meet up with, the police, so that you are in a position to best protect your licence and ensure continuity of trade.
This publication is intended for general guidance and represents our understanding of the relevant law and practice as at May 2025. Specific advice should be sought for specific cases. For more information see our terms & conditions.
Date published
29 May 2025
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