UK hospitality faces 1.8% foodservice inflation as pubs see modest sales gain

The Foodservice Price Index for June showed UK hospitality food and drink prices rising 1.8% month‑on‑month, driven by tighter fish quotas, limited cattle supplies, and adverse weather affecting coffee, tea, cocoa, vegetables and dairy. Prestige Purchasing CEO Shaun Allen said the spike highlights structural supply deficits and heat‑wave impacts that outweigh the recent fall in global oil prices. NIQ senior insight consultant Reuben Pullan added that expectations of lower energy easing cost pressure were unmet.

In the same month, NIQ’s RSM Hospitality Business Tracker reported a 1.9% year‑on‑year increase in like‑for‑like sales for managed pub groups, making June the strongest trading month of 2026 so far. The uplift was linked to early FIFA World Cup matches and warm weather. Overall hospitality sales were flat (+0.2%). Restaurant sales fell 0.7% and bar sales dropped 5.8%, while total sales—including new venues—rose 3.8%. Industry analysts noted that while pubs benefited, restaurants remain under pressure from high operating costs.