Press release: Record staff shortages causing hospitality to lose £21bn in trade
A joint survey by UKHospitality, the British Institute of Innkeeping, and the British Beer and Pub Association, demonstrates how a shortage of workers is damaging hospitality businesses and the UK’s recovery.
Staff shortages in the hospitality industry are reaching critical levels, causing nearly half (45%) of operators to cut trading hours or capacity in order to cope, costing the industry £21bn in lost revenue and causing an estimated £5bn loss in tax for the Exchequer.
The survey also shows that staff shortages are forcing one in three businesses in the sector to close one or more days a week. Recent ONS figures show sector currently has a record 174,000 jobs available and is experiencing 83% more vacancies compared to March-May 2019 (the most recent comparable period).
The joint survey reveals that the highest shortages are for front of house roles, with 81% of those operators with vacancies looking to fill these roles. Chefs are the next most sought after, with 76% of operators with vacancies looking to recruit these positions, followed by kitchen porters (67%), and assistant managers (53%).
In a joint statement, UKHospitality, the British Institute of Innkeeping, and the British Beer and Pub Association, said:
“These figures clearly show the danger to the industry and financial loss to the country via taxes posed by the current staffing crisis. In short, the recovery of both the sector and the UK economy are being threatened by this workforce shortage.
“Operators have been doing all they can to help solve the issue, from increasing wages, to flexible working. However, this can only help so much, and the sector must be given targeted support in order to solve the crisis.
“People are at the heart of hospitality, providing the quality customer service and personal experiences that people want. On the other side of the coin, the sector offers jobseekers a wide range of roles and fulfilling careers with great potential for progression. The sector offers opportunities to people of all levels of expertise, experience and backgrounds. A booming hospitality workforce will create fantastic opportunities, drive economic growth and aid regeneration in communities across the UK.”
Last month UKHospitality launched its nationwide hospitality workforce strategy to nurture cooperation between industry stakeholders and boost recruitment and training for a new generation of skilled hospitality staff.
UKHospitality
UKHospitality is the trade body representing the UK’s hospitality sector, representing over 730 companies, operating around 85,000 venues in a sector that employed 3.2 million people prior to COVID. The body speaks on behalf of a wide range of leisure and ‘out-of-home’ businesses, from FTSE 100 enterprises to niche groups and independent single-site operators, as well as 6,000 affiliated operators and brings together businesses from all aspects of hospitality: coffee shops, hotels, serviced apartments, pubs, restaurants, leisure parks, nightclubs, contract caterers, entertainment, wedding venues, holiday homes, bowling alleys and visitor attractions.
British Institute of Innkeeping
The BII is the leading independent licensee support organisation for individuals working in hospitality, with 10,000 individual members running premises across the UK – predominantly tenanted, leased, managed and freehold pubs. The organisation provides expert helplines, online business support, and guidance on key industry issues, and savings on a range of supply deals for its members, keeping pubs thriving in the heart of every community.
British Beer & Pub Association
The BBPA represents companies in the UK which between them brew over 90% of the beer sold in the UK and own 20,000 pubs. Our members include international companies, family brewers, managed locals, and the nation’s largest tenanted pub estates.
- The UK’s beer and pub industry supports close to 940,000 jobs
- The industry adds £26.2billion to the UK’s economy each year
