Modest May for hospitality groups as consumers keep lid on spending
Britain’s leading hospitality groups grew their like-for-like sales by 0.4% in May, according to the latest NIQ RSM Hospitality Business Tracker.
It marks just the second month of growth for the sector in 2026, reflecting an ongoing squeeze on consumers’ disposable incomes amid rising costs. Groups’ year-on-year growth has now been below the UK’s rate of inflation, as measured by the Consumer Prices Index, for 13 consecutive months.
The Tracker, which is produced by NIQ, powered by CGA intelligence, in association with RSM, shows pubs were the best performing hospitality channel in May. A burst of warm weather over the late Bank Holiday weekend towards the end of the month brought consumers out to beer gardens and terraces, and helped pub groups to finish the month with sales 1.1% ahead of May 2025.
Growth for managed restaurants was slower at 0.5%. It represents a fifth positive month out of six for the restaurant sector after a very challenging 2025, though operators continue to face inflation in many key costs as well as a tightening of spending on eating out. Meanwhile year-on-year sales in the bar sector slipped by 6.1% — the worst figure since early 2025.
Despite the challenges, some hospitality groups continue to open new sites, the NIQ RSM Hospitality Business Tracker shows. On a total sales basis — including at venues opened in the last 12 months — sales rose by 3.9% in May — slightly ahead of the recent rate of inflation.
The Tracker also highlights a better May for operators in London, which enjoyed the country’s best weather over the Bank Holiday weekend. Groups’ like-for-like sales rose by 3.0% within the M25 but fell by 0.6% beyond the M25.
Saxon Moseley, Head of Leisure and Hospitality at RSM UK, said: “May’s figures continue an unwelcome 13-month run of below-inflation growth, confirming that the sector remains stuck in stagnation. While London outperformed the rest of the UK for the second consecutive month, buoyed by a heatwave that kept pub tills ringing, the picture elsewhere is worrying. Strip out the capital’s figures, and the rest of the country reported negative like-for-like growth. This is a real concern for regional operators and a stark reminder that consumer spending remains incredibly uneven. All will be hoping the World Cup stimulates demand across the UK and gives the industry a much-needed boost ahead of the critical summer holidays.”
Karl Chessell, Director - Hospitality Operators and Food, EMEA at NIQ, said: “Hospitality like-for-like sales have been frustratingly short of inflation for many months now, and it’s clear that any recent growth is being driven by higher prices or new openings rather than extra volume. Millions of consumers are very cautious about their spending, and bars in particular are being heavily impacted by tighter budgets and changing leisure habits. The football World Cup brings a great opportunity for pubs to boost footfall in June and July, and reports of more staycations should also work to the advantage of all operators. Nevertheless, hospitality remains under severe strain.”
NIQ collected sales figures directly from 118 leading managed groups for May’s edition of the NIQ RSM Hospitality Business Tracker, which provides authoritative monthly insights into Britain’s restaurant, pub and bar sales. Companies participating in the Tracker receive a fuller breakdown of trading that helps to benchmark performance and understand market trends. To join the cohort, contact Andrew Dean at andy.dean@nielseniq.com.
Participants in the NIQ RSM Hospitality Business Tracker: Adventure Leisure Ltd, Amber Taverns, Anglian Country Inns, Arc Inspirations, Azzurri Group (Ask Italian, Coco di Mama, Zizzi), B Bagel, Barburrito, Barworks, Beds and Bars, Big Fang Collective, Big Table Group (Banana Tree Restaurants, Bella Italia, Chiquito, Frankie & Benny’s, Las Iguanas), Bill’s Restaurants, Bleecker St Burger, Boisdale Ltd, Boom Battle Bar, Boston Tea Party, Boxpark, BrewDog, Burger & Lobster, Buzzworks Holdings Group, Byron, Chance and Counters, Coaching Inn Group Ltd, Comptoir Group Plc, Cote Restaurants, Creams Café, Darwin & Wallace, Dishoom, Evolv Collection, Five Guys, Flat Iron, Fortnum & Mason, Fuller Smith & Turner, Gaucho Grill, Giggling Squid, Glendola Leisure, Gordon Ramsay Restaurants, Greene King (Chef & Brewer, Hungry Horse, Flaming Grill), Hall & Woodhouse, Hawthorn Leisure, Heartwood Collection, Honest Burgers, HOP Vietnamese, Kibou, Kricket, Laine Pub Co, Lane 7, Liberation, Lina Stores, Loungers, Lucky Voice, Marston’s, McMullen & Sons Ltd, Megans, Mildreds, Mission Mars, Mitchells & Butlers (Harvester, Toby, Miller & Carter, All Bar One), MJMK Restaurants, Mojo Bar, Mowgli, Nando’s Restaurants, Neos Hospitality, New World Trading Company, Nightcap Plc, NQ64 Arcade Bars , Open House London, Parogon Pub Group, Pho, Pizza Express, Pizza Hut UK, Popeyes, Portobello Starboard Ltd, Prezzo, Public House Group, Punch Pub Co, Rick Stein Restaurants, Riley’s, Rosa’s Thai, Roxy Leisure, San Carlo, Sandbox VR, Shepherd Neame, Signature Pubs, Simmons Bars Group, Southern Wind Group (Fazenda), St Austell, Star Pubs & Bars, State of Play Hospitality, Stonegate Pub Co (Slug & Lettuce, Yates’, Walkabout, Bermondsey Pub Company), Tasty Plc, TGI Fridays UK, The Alchemist, The Fulham Shore, The Restaurant Group, Thunderbird Fried Chicken, Tonkotsu, Topgolf Ltd, Tortilla, Tossed, Treetop Golf, True North Brew Co, Upham Pub Co, Urban Pubs & Bars, Urban Village Pub Co, Various Eateries (Strada, Coppa Club), Village Hotels, Wagamama, Wasabi, Wells & Co, Whitbread (Beefeater, Brewers Fayre, Table Table), Wingstop, Yard Sale Pizza, Yolk, YO! Sushi, Young’s and Yummy Collection.
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