Rising costs drive decline in dining out across UK and Australia

Rising living costs are significantly altering consumer behavior in the restaurant industry across the United Kingdom and Australia. In the UK, more than a third of people are cutting back on dining out due to high food, energy, and wage costs. To combat this, many establishments are utilizing loyalty programs, such as Pizza Express Club and Nando’s, or offering discounts for off-peak dining through apps like First Table and EatClub.

Similarly, in Australia, 64 per cent of consumers report dining out less frequently than a year ago to manage expenses. A report from the FoodService Association Australia and Vypr indicates that 57 per cent of Australians often skip dining out entirely. While many consumers are seeking lower-priced venues or using promotions, food quality remains the primary measure of value for 77 per cent of respondents. Consumers are becoming more deliberate, prioritizing experiences and quality to justify the expenditure.