More than 41,000 UK hospitality venues have outdoor space for 12 April reopening
More than 41,000 pubs, bars and restaurants have some kind of outdoor space which could allow them to reopen on 12 April, according to new figures published this morning.
The latest monthly Market Recovery Monitor by CGA and AlixPartners has revealed that just over 38 per cent of licensed premises in the UK say they have space to allow them to trade.
Firms have said they will plan to utilise gardens, terraces, car parks and other areas where they can potentially seat guests to reopen when outdoor hospitality is given the go-ahead in the next phase of the Prime Minister’s road map.
However, the proportion of operators able to operate outside fluctuates significantly depending on their specific area of the hospitality market.
More than 80 per cent of community pubs have said they have appropriate outdoor space to reopen.
However, only 11.9 per cent of casual dining restaurants have such space, meaning further pain for many chains which have been hit hard in the past 12 months.
Unprofitable
The report also said that a significant number of sites with outdoor space will still be unlikely to trade from mid-April because of limitations to their space and the cost of equipping or staffing them being unprofitable.
It highlighted that punters in the south-west of England will be best placed come 12 April, with 51 per cent of premises in the area having outdoor space.
Meanwhile, only 33.1 per cent of operators in London have outdoor space they can use and only 22.9 per cent of venues in Scotland, which will see sites reopen from 26 April, have outdoors areas.
“With huge pent-up demand for hospitality and consumers’ confidence rising, outside trading could give sales a useful kickstart, but there are a lot of variables at play,” Karl Chessell, business unit director for hospitality operators and food at CGA, said this morning.
“Pubs with beer gardens will be popular if the sun shines, but some restaurants may find it harder to recoup the costs of reopening, especially if the April weather isn’t favourable.”
Graeme Smith, AlixPartners’ managing director, added to that: “We’ve seen a spate of operators announce plans to reopen for outdoor service on April 12, and while it’s unlikely to be profitable for the majority to do so, businesses will do all they can to maximise their usable space.”
“For those that do reopen, managing cashflow will now be of critical importance as work with supply chains begins again, and relationships with suppliers, landlords and other stakeholders will be tested,” he concluded.