Pubs and restaurants across the UK in December failed to reach pre-Covid revenue levels, industry research has found, with pubs weaker than restaurants.
Sales were 1% lower than the 2019 festive season, hospitality software company Fourth revealed.
Sales in pubs and restaurants beat 2021 levels by 28%, as the sector enjoyed its strongest festive performance for three years.
Restaurants managed to beat pre-pandemic levels for December by 2% but fell short in October and November by 2% and 5% respectively.
Pub revenue in December was 8% lower than in 2019 but up 30% on 2021, when the festive period was overshadowed by the Covid Omicron variant.
The hospitality sector continues to face a multitude of headwinds: lack of staffing, increasing national wages, high food costs driven by inflation and expensive energy bills.
“The cost-of-living crisis, rising energy prices, snow, and industrial action by rail workers in December, have hit hospitality at a time when consumer confidence is still yet to fully return following the pandemic,” a spokesperson for Fourth said.
Whilst the lack of pandemic constraints and World Cup were likely to have boosted the industry, venues face a tough 2023.
The energy bill relief scheme is set to end in March, with businesses expecting an 82% rise in utility costs, a recent survey from UKHospitality found.