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We write to the UK's Energy Minister

by John Jones | Oct 26, 2023

Our recent Big Question survey revealed the true concern experienced by restaurateurs across the country when it comes to the cost of energy. We'll never stop supporting restaurateurs and the sector as a whole, and our Managing Director Jaipal Yadav was quick to bring the findings to the attention of the UK's Energy Minister. We currently await a response. 


The Rt Hon Graham Stuart MP.

Minister of State (Department for Energy Security and Net Zero)

House of Commons

London

SW1A 0AA

Dear Mr Stuart

Subject: UK restaurateurs under increased pressure owing to rising energy costs

I hope this message finds you well. I am writing to you as Managing Director of restaurant software business, Favouritetable Services Limited. We support several hundred restaurateur clients across the UK with systems that enhance their efficiency and profitability.

We recently surveyed over 350 of our clients and other UK restaurateurs regarding the issue of increasing energy costs for the hospitality sector to find out more about how their bills may or may not be inhibiting businesses.

Specifically, we asked restaurateurs ‘if they had raised their prices due to current energy costs’.

Some 52% of respondents reported that ‘yes,’ they have increased and passed on rising energy costs to their customers. Comments returned about the impacts on their business included:

“I hate to raise prices, but I had to.”

“We have reduced our opening hours and are now closed one day a week.”

“Our energy bills have tripled and we are now averaging £200 per day. That’s two people’s salaries and they may have to be dropped to cover the others. If we raise prices again, we are going to out-price our guests. There should be a complete cut on VAT on all hospitality businesses for the next two years.”

“Our average monthly electricity bill has gone from £1,200 to £3,800. We can’t afford it and now owe British Gas a lot of money. We also haven’t been able to pay our VAT bill and owe thousands.”

It is clear that increased energy costs are causing significant challenges and concerns for an already under-pressure sector.

I would be grateful if you would consider this information carefully and confirm whether the Government will be implementing any initiatives to address energy cost mitigation for the £17.8 billion UK restaurant sector?

We would be very happy to pass on details of any good news you are able to provide to our clients and others within the industry.

Yours sincerely,

Mr. Jaipal Yadav

Managing Director – Favouritetable