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Pubs outperform restaurants in July

15 | 08 | 13

Pubs were the main benefactors of the July heat wave, according to new statistics. 

The latest figures from the Coffer Peach Business Tracker, which is produced by CGA Peach alongside Coffer Group, Baker Tilly and UBS, show the warm weather boosted trade for these outlets while restaurants suffered a drop in sales. 

London leads the pub revival

Pubs across the UK enjoyed a positive July, but the greatest increase in custom was recorded in the capital. Managed venues inside the M25 saw like-for-like sales rise by 7.6 per cent on the same month last year, while drink-led outlets experienced an increase of 9.5 per cent.

These figures stand at 2.9 per cent and 5.7 per cent respectively across the country as a whole.

Peter Martin of CGA Peach said London's strong performance is due to a combination of the hot weather - temperatures exceeded 30 degrees C in the capital on a number of occasions - and the fact last year's figures were affected by a lull in trade caused by the forthcoming Olympic Games. 

Not so good for restaurants

While pubs enjoyed an increase in trade compared to 2012, restaurant groups saw like-for-like sales fall by 2.5 per cent. The drop was even higher outside of the M25 at 5.4 per cent, but the figures for the capital - where the decrease was just 2.6 per cent - brought the average down. 

Mr Martin believes the heat wave played an important part in this decline. 

"The weather always has an effect on trading, with good weather generally favouring pubs and poor conditions better for restaurants, as we’ve just seen. In addition, the impact of the Olympics will continue with August’s trading comparisons," he stated.

Trevor Watson, director at Davis Coffer Lyons, claimed the lack of blockbuster film releases may also have had a negative impact, as it will have reduced the number of people choosing to eat out at the pictures and nearby leisure parks.

Catering equipment companies will no doubt be interested in this news as both restaurants and pubs represent important clients for many firms.

A positive month overall?

When the sales figures for both pubs and restaurants are combined there was an overall increase of 1.3 per cent, which is good news for the eating and drinking out sector. This figure rises to 3.6 per cent when the impact of new openings is taken into account. 

Once again, growth was stronger in London with combined like-for-like sales up by 5.4 per cent and total trade ahead by 6.6 per cent. 

Jarrod Castle, a leisure analyst at UBS, said that while the 1.3 per cent figure for July is slightly lower than the 1.9 per cent recorded in June, the 12-month average is still "ticking up", which is positive news.

However, a note of caution was sounded by Mr Martin. He said performance outside of London is significantly less impressive, while the long-term trend for pubs not based in the capital is still one of decline. ADNFCR-16001031-ID-801625297-ADNFCR


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