Britain's Restaurant Owners Under Siege: Ramsay Warns of 'Bloodbath'
The UK restaurant industry is facing an unprecedented crisis as tax changes are set to send businesses "to the slaughter", according to celebrity chef Gordon Ramsay. With 34 restaurants across the country, Ramsay claims the hospitality sector is being "suffocated" by rising business rates, energy costs, staffing expenses, and dwindling consumer spending.
The government's decision to introduce new tax measures in April has already led to a wave of restaurant closures, with industry experts predicting that nearly 1,500 businesses will shut their doors this year alone. Ramsay believes the situation is even more dire than after the 2008 financial crisis, when many restaurants were forced to close due to economic downturn.
Ramsay's comments come as Chancellor Rachel Reeves prepares to unveil a support package for pubs, but critics argue that it does not go far enough to address the plight of the wider hospitality sector. Ramsay warns that if the government does not take action, "everyone loses" β including independent chefs and restaurants that have been struggling to stay afloat.
The industry is already reeling from the impact of rising energy costs, which have pushed many restaurants to the brink of financial collapse. With customer spending power dwindling as households face higher bills for essentials like food and housing, Ramsay claims it's becoming increasingly difficult for businesses to pass on these increased costs to customers without sacrificing their bottom line.
The UKHospitality trade body has forecast that over 1,900 establishments will shut up shop this year if the government does not provide targeted support. Ramsay argues that a slower rollout of tax increases would give businesses more time to adapt and would be less devastating to the industry as a whole.
Ramsay's warning comes as the hospitality sector faces its greatest challenge in decades. With the pandemic still fresh in many restaurateurs' minds, Ramsay fears that the current situation will lead to a "bloodbath" of closures if left unchecked.
The UK restaurant industry is facing an unprecedented crisis as tax changes are set to send businesses "to the slaughter", according to celebrity chef Gordon Ramsay. With 34 restaurants across the country, Ramsay claims the hospitality sector is being "suffocated" by rising business rates, energy costs, staffing expenses, and dwindling consumer spending.
The government's decision to introduce new tax measures in April has already led to a wave of restaurant closures, with industry experts predicting that nearly 1,500 businesses will shut their doors this year alone. Ramsay believes the situation is even more dire than after the 2008 financial crisis, when many restaurants were forced to close due to economic downturn.
Ramsay's comments come as Chancellor Rachel Reeves prepares to unveil a support package for pubs, but critics argue that it does not go far enough to address the plight of the wider hospitality sector. Ramsay warns that if the government does not take action, "everyone loses" β including independent chefs and restaurants that have been struggling to stay afloat.
The industry is already reeling from the impact of rising energy costs, which have pushed many restaurants to the brink of financial collapse. With customer spending power dwindling as households face higher bills for essentials like food and housing, Ramsay claims it's becoming increasingly difficult for businesses to pass on these increased costs to customers without sacrificing their bottom line.
The UKHospitality trade body has forecast that over 1,900 establishments will shut up shop this year if the government does not provide targeted support. Ramsay argues that a slower rollout of tax increases would give businesses more time to adapt and would be less devastating to the industry as a whole.
Ramsay's warning comes as the hospitality sector faces its greatest challenge in decades. With the pandemic still fresh in many restaurateurs' minds, Ramsay fears that the current situation will lead to a "bloodbath" of closures if left unchecked.