More than half of British diners say rising prices are the main reason they are eating out less, according to YouGov data showing that overall 38% of people are visiting restaurants and other eateries less often than a year ago.
Among those cutting back, 63% cite higher costs as the main reason to dine out less frequently, according to the poll. Despite this downturn, more than two in five are still choosing to eat out at least once a month, while 8% of people say they never do.
UK inflation was unchanged last month at 3.8%, confounding expectations of a rise, in welcome news for the chancellor, Rachel Reeves, as she plans for her crucial budget next month.
However, inflation is still well above the government’s 2% target, and cost-conscious behaviours are on the rise. Nearly half of British diners say they have altered their dining preferences with a view to saving money. Of these, three in five say they are choosing cheaper restaurants, while 52% say they order fewer items, YouGov found.
Sarika Rana, director of consumer research at the polling and market research company, said dining out was “under pressure”. She added: “Six in 10 consumers say they are eating out at least once a month, yet nearly 38% of diners say they are doing so less than they did a year ago, citing rising costs. This represents an opportunity for more economic dining options. 59% of Brits who have altered their dining preferences say they are opting for cheaper restaurants.”
Sainsbury’s has just launched Taste the Difference Discovery, which the supermarket chain says offers restaurant-quality food that people can eat at home. It said that the new collection was designed to meet a growing demand for premium food as shoppers are increasingly dining in and looking for new ways to treat themselves at home. The range of more than 50 products includes British wagyu, Aberdeen Angus steaks, and modern Indian ready meals with a curated selection of wines and spirits.
Meanwhile the food entrepreneur Charlie Bigham has recently launched a range of luxurious ready meals in some Waitrose branches costing up to £29.95.
Amid increased operating costs and consumer caution, some restaurants have been struggling to survive. Pizza Hut announced the closure of 68 of its restaurants this week, putting as many as 1,200 jobs at risk, after the company behind its UK venues fell into administration. Eleven delivery-only sites will also close.
In July the trade body for the hospitality sector said data showed it had been the hardest-hit sector since the budget, accounting for 45% of all job losses. The chair of UKHospitality, Kate Nicholls, said: “The change to employer NICs in particular, was socially regressive and had a disproportionate impact on entry level jobs.”
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The YouGov survey found that 79% of British diners believe restaurant prices have increased in the past year, with baby boomers – those born between 1946 and 1964 – most likely to notice the change.
Social media is the leading way consumers find restaurant deals, particularly among younger restaurant-goers. The poll of 2,000 people in Great Britain found 36% of people heard about restaurant promotions this way.
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