4.4 C
Nottingham
Sunday, May 15, 2022

Wetherspoons customers in Gedling borough warned over future price hikes

Chairman Tim Martin shared the warning to customers of the popular pub giant known for it’s cheap prices for beer and food.

More articles

Wetherspoons customers in Gedling borough could face further price hikes as the pub chain said it expects to break even this year after returning to profit in the third quarter.

Chairman Tim Martin shared the warning to customers of the popular pub giant known for it’s cheap prices for beer and food.

- Advertisement -

Mr Martin said the group is “cautiously optimistic about the prospect of a return to relative normality” in the next financial year, but warned over rocketing inflation.

“As many hospitality companies have indicated, there is considerable pressure on costs, especially in respect of labour, food and energy,” he said.

“Repairs are also running at a higher rate than before the pandemic.

- Advertisement -

“The company anticipates a continuing slow improvement in sales, in the absence of further restrictions, and anticipates a ‘break-even’ outcome for profits in the current financial year.”

Tim Martin Wetherspoons
PICTURED: Wetherspoons chairman Tim Martin

Britain’s hospitality sector is slowly recovering after a series of Covid lockdowns hammered trading.

Sales are now bouncing back, but firms are dealing with the next crisis as the Ukraine war compounds already sky-high inflation.

- Advertisement -

Rising staff wages, eye-watering energy bill increases and higher food costs are all conspiring to take their toll on hospitality companies.

JD Wetherspoon said like-for-like sales in its third quarter to April 24 were 4% below the same period in 2019 before the pandemic struck, but bounced back to stand slightly higher in the final two weeks.

It said it had returned to profit since March 13 and is hopeful of a further gradual improvement in sales over its final quarter.

The figures come after half-year results in March showed it remained in the red with a pre-tax loss of £21.3 million for the six months to January 23.

LEAVE A REPLY

Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.

- Advertisement -

Don't Miss