Foodservice price inflation in the UK is starting to ease, but remains at a high level, according to recent reports. The cost of food and drink in the hospitality sector has been rising steadily in recent months, due to a range of factors, including supply chain disruptions and increases in the cost of raw materials.
However, there are signs that the rate of inflation is beginning to slow. The latest data from the Office for National Statistics (ONS) shows that food and drink prices increased by 2.5% in February 2023, down from 2.9% in January 2023. While this represents a slight easing of inflationary pressure, prices remain at a high level compared to historical trends.
The foodservice sector has been hit hard by rising prices, with many businesses struggling to balance the need to remain competitive with the rising cost of goods and services. In response, many operators have been forced to increase their prices, which could have a negative impact on customer spending and satisfaction.
To manage the impact of food price inflation, businesses are being advised to take steps to reduce waste and improve efficiency in their operations. This could include reducing portion sizes, sourcing more cost-effective ingredients, and investing in energy-efficient equipment to reduce energy costs.
While the easing of inflationary pressure is a positive sign for the hospitality sector, it is important to remember that food price inflation remains a significant challenge for many businesses. Operators are being encouraged to remain vigilant and take proactive steps to manage their costs and remain competitive in a challenging economic environment.
The Pubs Advisory Service works in conjunction with many businesses to increase their profitability and to help them resolve disputes. If you would like help with your pub business, then please contact us by clicking HERE.