After budget betrayal, hospitality industry faces leaner times

It may not be all gloom, but smaller pubs are struggling to stay afloat in their busiest season, writes Jasper Reid

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For Jon Lake, the managing director of quick serve restaurant (QSR) chain Chopstix, the last quarter of 2025 has proved oddly unpredictable. Like the hit show Stranger Things, UK hospitality seems to be living in the “upside down”.

“Trading has been incredibly volatile,” says Lake. “In the past, weekends were strong and weekdays soft and it’s been turned on its head.” Another CEO of a 200-site business notes that Saturday trading is down more than any other day of the week year-on-year. It’s not clear why.

How is the hospitality industry faring in 2025? Newspaper headlines suggest it’s all gloom. But one word dominates conversations with industry leaders: uncertainty. And investors like nothing less.

QSR is the fastest expanding segment within hospitality. Players win by offering low prices, lean operating models and TikTok vibes for digital-native customers. Wendy's, Five Guys, Dave’s Hot Chicken, Popeyes, Wingstop and Chick-fil-A are on a nationwide march and the Americanisation of UK hospitality is now seen by many as a secular trend.