March sales up for managed groups

Britain's managed restaurant, pub and bar groups achieved solid growth from pre-Covid levels in March, according to the latest Coffer CGA Business Tracker.

Despite last month's like-for-like sales growing 4% on figures from March 2019, the impact of high inflation on margins and spending means the sector's recovery remains fragile. 

The Tracker, produced by CGA in partnership with The Coffer Group and RSM, shows a gradual upturn in trade this year, after a like-for-like drop of 1% in January and 3% growth in February. 

Bars performed the strongest of the tracker's three sectors last month, with like-for-like sales growth of 8%, as consumers continue to seek high tempo and experiential visits. Restaurants were close behind with 6% growth, thanks in part to flourishing delivery sales, while pubs were up 2%.

Trading in London continues to lag behind other parts of the country, according to the tracker. Managed groups' like-for-like sales inside the M25 in March were flat, compared to 6% growth beyond the M25. 

Karl Chessell, director for hospitality operators and food at CGA, comments: "Two years on from the start of the pandemic and unprecedented turmoil in hospitality, these figures show managed groups are building back steadily.

"It’s particularly pleasing to see bars performing so well, as people return to late-night visits. However, like-for-like figures are well below inflation, and with soaring costs in energy, food and other areas hurting both operators and consumers, real-terms growth will be extremely challenging for some time."

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