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Post Covid-19?


7 Apr 2022 by Charles Manners

We were meant to be leaving Covid-19 behind, however as I write we had 5m cases last week although normality seems to be returning.

Covid 19 has been devastating for the hospitality sector, we have lost 10,000 businesses and 600,000 jobs, and we have seen our sector lose its job attractiveness which in part is not now helping recruitment.

The Pret Bloomberg index is a fascinating benchmark of where business levels are when compared to 2019, in the city business is up to 86% of 2019 levels, and this is probably where the business will be going forward with home working. However in the West End and London suburbs, business is ahead of 2019, and other operators such as Fridays and Wagamama are reporting growth on 2019.

Peter Backman’s article last week summed up my thoughts as we now have to navigate the continuing recruitment pressures and now inflation, not helped by the war in Ukraine. As without Covid-19 would be so well prepared for the challenges and roller-coaster ride ahead? and confidence in our abilities to find solutions. We have been hardened by Covid – and our perceived ability to live with it.

Inflation and the cost of living crisis will not only be challenging for operators to maintain margins, we will undoubtedly see consumer spending come under pressure.

Kate Nicholls was recently speaking on Propel last week and made the point that hospitality can be the growth engine to help the governments levelling up agenda by providing growth and well-paid jobs; they need to grasp this!

We remain in uncertain times! and as catering consultants are well placed to bring our experience of different businesses to help find solutions.

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