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Pubs & Bars in the UK - Market Research Report (2014-2029)

Gaetana Mak Gaetana Mak London, United Kingdom Last Updated: October 2024 SIC I56.302

Revenue

£28.1bn

2024-25

£28.1bn

Past 5-Year Growth

Profit

£X.Xbn

Employees

455k

Businesses

32,129

Wages

£X.Xbn

Pubs & Bars in the UK industry analysis

Over the five years through 2024-25, Pubs & Bars revenue is expected to edge upwards at compound annual rate of 2.2%. It's no surprise falling alcohol consumption isn’t good news for pubs and bars have. Britons’ sharp focus on health and well-being means the number of individuals going teetotal or cutting down on alcohol is rising rapidly, forcing establishments to close or to adapt. Not all hope is lost; establishments fight back by introducing a more extensive low and no-alcohol-free menu while focusing on the gastronomic side to draw in patrons.
Still, times have been challenging as pubs and bars have faced rampant inflation, rising prices and inventory bills. As consumers grapple with eroding incomes, passing on price increases isn't the best idea. Staffing shortages, rising wage bills and business rates only add to the growing challenges. In 2024-25, revenue is anticipated to increase by 2.3%, reaching £28.1 billion, and profit is expected to reach 8.3%.
Over the five years through 2029-30, full restaurant revenue is expected to increase at a compound annual rate of 4.4% reaching £34.9 billion. Labour, business rates and wages remain points of contention as the yearly reviews and anticipated increases take effect at the start of every financial year in April. Competition from off-trade shops like supermarkets will intensify, especially with fierce price wars. Despite the seemingly gloomy outlook, there are strategies for growth, including curating an aesthetic décor, drinks and an artisan atmosphere. It’s not just about what you eat and drink - consumers increasingly seek value for money from their food and beverages and high-quality experiences. With a drop in alcohol consumption and a rise in lifestyle changes like veganism, menus must adjust menus to feature a larger range of non-alcoholic beverages to draw in consumption. For those offering food, this means vegan options, too.

Trends and Insights

  • Labour shortages remain a struggle. Years after the introduction of the points-based immigration system and securing enough labour, particularly over the busy summer and festive months, continues to pose a challenge for pubs and bars.
  • Beer consumption is declining in the UK. Rising health consciousness and expanding waistlines encourage Britons to swap beer for low or no alcohol varieties.
  • The South East's wealth drives pub spending. The region's high gross disposable income and populous counties make it a lucrative location for pubs and bars, with spending in these establishments ranking second highest in the UK.
  • Competition shapes the Pubs and Bars industry. Competition hinges on price, quality of food and drink, and the overall atmosphere, pushing establishments to constantly innovate and improve their offerings.

Access hundreds of analysis and data

  • Market estimates from 2014-2029
  • Critical performance data and rankings
  • Detailed analysis of competitive forces and the external environment
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Industry Statistics and Trends

Market size and recent performance (2014-2029)

Industry revenue has grown at a CAGR of 2.2 % over the past five years, to reach an estimated £28.1bn in 2024.

Trends and Insights

Slumping alcohol consumption limits growth

  • A rising number of Britons, particularly people aged between 25 and 40, are limiting alcohol consumption in a bid to become physically and mentally healthier.
  • Additional trends and insights available with purchase
Pubs & Bars in the UK
Revenue (2014-2029)
Alfabank-Adres Logo Source: Alfabank-Adres

Industry outlook (2024-2029)

Market size is projected to grow over the next five years.

Trends and Insights

Competition from the off-trade will intensify

  • Off trade alcohol prices will continue downwards as supermarkets launch price matching campaigns, loyalty membership prices and engage in price wars.

Biggest companies in the Pubs & Bars in the UK

Company
Market Share (%)
2025
Revenue (£m)
2025
Greene King Ltd
2,331.1
JD Wetherspoon plc
2,105.0
Mitchells & Butlers plc
1,971.9

To view the market share and analysis for all 5 top companies in this industry, view purchase options.

Products & Services Segmentation

Pubs & Bars in the UK
Products & Services
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Industry revenue is measured across several distinct product and services lines, including Beer and cider, Spirits and spirit-based drinks and Wine and sparkling wine. Beer and cider is the largest segment of the Pubs & Bars in the UK.

Trends and Insights

Beer consumption is trending downwards

  • The growing preference of British drinkers for quality over quantity and complex beer flavours has push sales of craft beers like IPA.
  • More insights available in the full report

Table of Contents

About this industry

Industry definition

Pubs and bars prepare and serve beverages for consumption on their own premises – this includes individuals and companies that operate pubs. Companies that own but don’t operate pubs, like property companies and pub companies (pubcos), aren’t included in this industry.

What's included in this industry?

Beer and ciderFoodSpirits and spirit-based drinksWine and sparkling wineOther

Companies

Greene King LtdJD Wetherspoon plcMitchells & Butlers plc

Purchase this report to view all 5 major companies in this industry.

Related Terms

WET-LEDON-TRADEOFF-TRADE

Industry Code

SIC 2007

SIC 56.30/2 - Pubs & Bars in the UK

Performance

Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.

Analyst insights

Labour shortages remain a struggle. Years after the introduction of the points-based immigration system and securing enough labour, particularly over the busy summer and fest...

In this chapter (4)

  • Current Performance
  • Outlook
  • Volatility
  • Life Cycle

Key metrics

  • Annual Revenue, Recent Growth, Forecast, Revenue Volatility
  • Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
  • Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
  • Total Profit, Profit Margin, Profit per Business

Charts

  • Revenue, including historical (2014-2023) and forecast (2024-2029)
  • Employees, including historical (2014-2023) and forecast (2024-2029)
  • Businesses, including historical (2014-2023) and forecast (2024-2029)
  • Profit, including historical (2014-2024)
  • Industry Volatility vs. Revenue Growth
  • Industry Life Cycle

Detailed analysis

  • Trends in supply, demand and current events that are driving current industry performance
  • Expected trends, economic factors and ongoing events that drive the industry's outlook
  • Key success factors for businesses to overcome volatility
  • How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.

Products and Markets

Learn about an industry's products and services, markets and trends in international trade.

Analyst insight

Beer consumption is declining in the UK. Rising health consciousness and expanding waistlines encourage Britons to swap beer for low or no alcohol varieties.

In this chapter

  • Products & Services
  • Major Markets

Key metrics

  • Largest market segment and value in 2024
  • Product innovation level

Charts

  • Products & services segmentation in 2024
  • Major market segmentation in 2024

Detailed analysis

  • Trends impacting the recent performance of the industry's various segments
  • Innovations in the industry's product or service offering, specialization or delivery method
  • Key factors that successful businesses consider in their offerings
  • Buying segments and key trends influencing demand for industry products and services

Geographic Breakdown

Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.

Analyst insights

The South East's wealth drives pub spending. The region's high gross disposable income and populous counties make it a lucrative location for pubs and bars, with spending in ...

In this chapter (1)

  • Business Locations

Charts

  • Share of revenue, establishment, wages and employment in each region
  • Share of population compared to establishments in each region in 2024

Tables

  • Number and share of establishments in each region in 2024
  • Number and share of revenue each region accounts for in 2024
  • Number and share of wages each region accounts for in 2024
  • Number and share of employees in each region in 2024

Detailed analysis

  • Geographic spread of the industry across Europe, and trends associated with changes in the business landscape
  • Key success factors for businesses to use location to their advantage

Competitive Forces

Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.

Analyst insights

Competition shapes the Pubs and Bars industry. Competition hinges on price, quality of food and drink, and the overall atmosphere, pushing establishments to constantly innova...

In this chapter (4)

  • Concentration
  • Barriers to Entry
  • Substitutes
  • Buyer & Supplier Analysis

Key metrics

  • Industry concentration level
  • Industry competition level and trend
  • Barriers to entry level and trend
  • Substitutes level and trend
  • Buyer power level and trend
  • Supplier power level and trend

Charts

  • Market share concentration among the top 4 suppliers from 2019-2024
  • Supply chain including upstream supplying industries and downstream buying industries, flow chart

Detailed analysis

  • Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
  • Key success factors for businesses to manage the competitive environment of the industry.
  • Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
  • Key success factors for potential entrants to overcome barriers to entry.
  • Competitive threats from potential substitutes for the industry’s own products and services.
  • Key success factors for how successful businesses can compete with substitutes.
  • Advantages that buyers have to keep favorable purchasing conditions.
  • Advantages that suppliers have to maintain favorable selling conditions.
  • Key success factors for how businesses can navigate buyer and supplier power.

Companies

Learn about the performance of the top companies in the industry.

Analyst insights

JD Wetherspoon leads the Pubs and Bars industry. Its dominance is due to its vast estate over 750 pubs, strong emphasis on food, and unique offering of serving breakfast at a...

In this chapter

  • Market Share Concentration
  • Companies
  • Company Spotlights

Charts

  • Industry market share by company in 2020 through 2024
  • Major companies in the industry, including market share, revenue, profit and profit margin in 2024
  • Overview of Greene King Ltd's performance by revenue, market share and profit margin from 2018 through 2024
  • Overview of JD Wetherspoon plc's performance by revenue, market share and profit margin from 2018 through 2024
  • Overview of Mitchells & Butlers plc's performance by revenue, market share and profit margin from 2018 through 2024
  • Overview of revenue, market share and profit margin trend for 2 additional companies

Detailed analysis

  • Description and key data for Greene King Ltd, and factors influencing its performance in the industry
  • Description and key data for JD Wetherspoon plc, and factors influencing its performance in the industry
  • Description and key data for Mitchells & Butlers plc, and factors influencing its performance in the industry
  • Description, key data and performance trends for 2 additional companies

External Environment

Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.   

Analyst insights

The Licensing Act 2003 regulates alcohol sales in pubs. This law requires pubs to register with local authorities and adhere to specific times and conditions for selling alco...

In this chapter

  • External Drivers
  • Regulation & Policy
  • Assistance

Key metrics

  • Regulation & policy level and trend
  • Assistance level and trend

Charts

  • Regulation & Policy historical data and forecast (2014-2029) 
  • Assistance historical data and forecast (2014-2029) 

Detailed analysis

  • Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
  • Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
  • Key governmental and non-governmental groups or policies that may provide some relief for industry operators.

Financial Benchmarks

View average costs for industry operators and compare financial data against an industry's financial benchmarks over time. 

Analyst insights

Profitability faces a rocky road to recovery. Dropping alcohol consumption and fierce price competition doesn't bode well for pubs and bars.

In this chapter

  • Cost Structure
  • Financial Ratios
  • Key Ratios

Key metrics

  • Profit margin, and how it compares to the sector-wide margin
  • Average wages, and how it compares to the sector-wide average wage
  • Largest cost component as a percentage of revenue
  • Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio

Charts

  • Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
  • Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
  • Investment vs. share of economy

Data tables

  • Liquidity Ratios (2018-2022)
  • Coverage Ratios (2018-2022)
  • Leverage Ratios  (2018-2022)
  • Operating Ratios (2018-2022)
  • Assets (2018-2022)
  • Liabilities (2018-2022)
  • Cash Flow & Debt Service Ratios (2014-2029)
  • Revenue per Employee (2014-2029)
  • Revenue per Enterprise (2014-2029)
  • Employees per Establishment (2014-2029)
  • Employees per Enterprise (2014-2029)
  • Average Wage (2014-2029)
  • Wages/Revenue (2014-2029)
  • Establishments per Enterprise (2014-2029)
  • IVA/Revenue (2014-2029)
  • Imports/Demand (2014-2029)
  • Exports/Revenue (2014-2029)

Detailed analysis

  • Trends in the cost component for industry operators and their impact on industry costs and profitability 

Key Statistics

Industry Data

Data Tables

Including values and annual change:

  • Revenue (2014-2029)
  • IVA (2014-2029)
  • Establishments (2014-2029)
  • Enterprises (2014-2029)
  • Employment (2014-2029)
  • Exports (2014-2029)
  • Imports (2014-2029)
  • Wages (2014-2029)

Top Questions Answered

Unlock comprehensive answers and precise data upon purchase. View purchase options.

What is the market size of the Pubs & Bars in the UK industry in United Kingdom in 2024?

The market size of the Pubs & Bars in the UK industry in United Kingdom is £28.1bn in 2024.

How many businesses are there in the Pubs & Bars in the UK industry in 2024?

There are 32,129 businesses in the Pubs & Bars in the UK industry in United Kingdom, which has grown at a CAGR of 1.0 % between 2019 and 2024.

Has the Pubs & Bars in the UK industry in United Kingdom grown or declined over the past 5 years?

The market size of the Pubs & Bars in the UK industry in United Kingdom has been growing at a CAGR of 2.2 % between 2019 and 2024.

What is the forecast growth of the Pubs & Bars in the UK industry in United Kingdom over the next 5 years?

Over the next five years, the Pubs & Bars in the UK industry in United Kingdom is expected to grow.

What are the biggest companies in the Pubs & Bars in the UK market in United Kingdom?

The biggest companies operating in the Pubs & Bars market in United Kingdom are Greene King Ltd, JD Wetherspoon plc and Mitchells & Butlers plc

What does the Pubs & Bars in the UK in United Kingdom include?

Beer and cider and Food are part of the Pubs & Bars in the UK industry.

Which companies have the highest market share in the Pubs & Bars in the UK in United Kingdom?

The company holding the most market share in United Kingdom is Greene King Ltd.

How competitive is the Pubs & Bars in the UK industry in United Kingdom?

The level of competition is moderate and increasing in the Pubs & Bars in the UK industry in United Kingdom.

Related Industries

Widen your competitive advantage with related industries

Competitors

  • Full-Service Restaurants in the UK
  • Takeaway & Fast-Food Restaurants in the UK
  • Nightclubs in the UK

Complementors

  • Hotels in the UK

International industries

  • Bars & Nightclubs in the US
  • Wine Bars in the US
  • Cigar Lounges in the US
  • Bars & Nightclubs in Canada
  • Pubs, Bars and Nightclubs in Australia

View all industries in United Kingdom

Methodology

How are Alfabank-Adres reports created?

Alfabank-Adres has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.

Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for Alfabank-Adres readers. Finally, each report is reviewed by one of Alfabank-Adres’s editors, who provide quality assurance to ensure accuracy and readability.

Alfabank-Adres relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.

What data sources do Alfabank-Adres analysts use?

Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.

Key data sources in the UK include:

  • Office for National Statistics
  • Office for Budget Responsibility
  • Bank of England

Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.

These sources include:

  • Industry and trade associations
  • Industry federations or regulators
  • Major industry players annual or quarterly filings

Finally, Alfabank-Adres’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.

How does Alfabank-Adres forecast its data?

Alfabank-Adres’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.

Alfabank-Adres prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.

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