According to Energy UK, basic improvements can save an average pub £445 per year, and switching to a heat pump can knock off another £340 from annual heating costs. The Labour government’s £6 billion commitment to energy efficiency opens the door for big savings. Some pubs are embracing QR code ordering and contactless digital payments to handle high volumes during peak times. While these systems may still involve standard card fees, the increase in customer retention and efficiency can offset the cost over time.
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Card fees may feel like a hidden cost, but many customers are willing to help once they understand. Payment processing, in particular, is often overlooked but can quietly eat into already-thin margins. Adding rooms, even a few upstairs, provides higher-margin income, spreads fixed costs, and protects against the ongoing dip in alcohol-led revenues.
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- According to Energy UK, basic improvements can save an average pub £445 per year, and switching to a heat pump can knock off another £340 from annual heating costs.
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- Official Government figures have revealed that more than 200 pubs have closed across the UK in the first half of 2025, with closures accelerating amid mounting tax burdens and cost pressures on the sector.
- It comes as a shock as the pub revealed that revenue increased by nearly double of the year.
Just a week into the new year, the hospitality industry has been hit with a blow as a slew of pubs across the UK have announced closures, with most taking effect immediately. “The government needs to act at the budget, with major reforms to business rates and beer duty.” Rework sentences to make them clear, concise or different with our AI paraphrasing tool The AI rewriter is a tool designed to improve text clarity and engagement by revising and rephrasing content. Instantly rewrite paragraphs, reword sentences,or humanize AI content with Wordtune. Instantly rewrite paragraphs, reword sentences, or humanize AI content with Wordtune.
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- Every pub that shuts its doors is a blow to jobs, communities and our cultural heritage.”
- Adding rooms, even a few upstairs, provides higher-margin income, spreads fixed costs, and protects against the ongoing dip in alcohol-led revenues.
- In Scotland, for example, the business rates review won’t even be completed until late 2026, with implementation not expected until 2029.
- Across the industry, pubs typically pay between 1.5% and 3.5% per card transaction.
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Paraphrasing is the art of rewriting text into other words. Except where otherwise noted, content and photographs on this site are licensed under a Creative Commons Attribution 3.0 License.Owned, operated and copyright CliqTo Ltd 2026 and Chris Haycock. The Welsh government’s traffic information service for Wales. At Wonderful we’re dedicated to making things as easy as possible for businesses to get onboard. Identify the appropriate payments API solution for your business requirements in 2025, considering factors such as real-time payments and security compliance.
This decline has seen the total number of pubs in England and Wales, including those vacant or available to let, fall to 38,780. Alex Probyn, practice leader of property tax at Ryan, warned the squeeze on the pub trade is intensifying. “This is a really sad pattern, and unfortunately a lot of these pubs never come back. Emma McClarkin, chief executive of the British Beer and Pub Association, said the Government needs to act quickly to save pubs across the country.
It means 2,283 pubs have vanished from communities across England and Wales since the start of 2020. The South East was hit the hardest, losing 31 pubs during the period. Each week we add new items to our collection of discount restaurant equipment to help you save. You’ll find that our discount restaurant equipment all comes from trusted brands that offer a dependable product for an affordable price. If you’re looking for discounted restaurant equipment, furniture, and kitchen supplies, check back regularly to find restaurant supplies for sale. For more than half a century, Restaurant Equippers has been a trusted source of commercial restaurant equipment and supplies.
The cumulative impact of the Budget will create an extra £650 million in costs for the sector, which worsens the outlook for pubs, the trade body said. Consumer demand is there, however, profits are being wiped out with sky high bills and pubs are facing yet more rates and costs come April. The BBPA says that the enormous scale of closures can be halted if Government sticks to its commitment to business rates reform, which must be swiftly and meaningfully introduced. Industry bosses had warned that the jump in taxes particularly would lead to an acceleration in pub closures. The South East bore the brunt of these closures in the first half of 2025, losing 31 pubs within just six months. Official government statistics show 209 pubs were either demolished or repurposed for other uses in the six months leading up to June.
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A rise in the national minimum wage and national insurance payments have also increased bills for pubs. Last month, the owner of a pub told Sky News “you can’t make money anymore” and “it’s not surprising so many pubs are closing at an alarming rate”. Hospitality businesses received a 60% discount on their business rates up to a cap of £110,000 – but this was cut to only 25% in April.
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A full audit of your costs, especially around payment systems, energy, and supply can uncover quick wins. So what can pub owners and industry leaders do in the meantime? As BBPA CEO Emma McClarkin warned, that delay might be “too late for some pubs already on the brink.” Time is running out for many pubs across the UK and action is needed now, not years down the line.
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Under UK law, pubs can’t charge extra for card payments but they can legally offer discounts for cash. While not built specifically for hospitality, Wonderful offers a flat-fee model that is gaining traction with cost-conscious small businesses like pubs. While the challenges facing pubs in the UK are very real, forward-thinking landlords are discovering that modern technology can help cut costs, not just add to them. For a lot of people, it’s impossible to make money, which too often means pubs have to turn off the lights for good.” A 2025 hospitality outlook by RSM UK found that 35% of consumers plan to cut back on spending in pubs and restaurants this year.
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According to the British Beer and Pub Association (BBPA), an estimated 378 pubs will permanently close in 2025, up from 350 in 2024, that’s nearly one closure every single day. This blog explores why traditional UK pubs are closing at an alarming rate. The BBPA warned that pub closures will have a further impact on those who are part of the supply chain, including farmers, brewers and other industries who form part of the sector’s wider eco-system. The regions that suffered the most from net pub closures were London at 1%, followed by East Midlands and West Midlands, with 0.9% closures.
Traditional card processors typically charge 1.5% to 3.5% per transaction, often eating up 20% to 30% of a pub’s net profit on every sale. Today’s online payment systems go well beyond basic card processing. Even the best-run, busiest pubs aren’t immune. For these businesses, even a small increase in fixed costs can tip the balance into closure. More alarmingly, research from Bailey’s suggests that one in five UK pubs is now technically insolvent, operating with negative assets on their balance sheets.
These systems help manage staffing gaps and reduce wait times, especially for venues with beer gardens or large tables. But newer solutions like Wonderful’s One app are rewriting the rules. This shift gives pub owners greater visibility and control over where their money goes and where they can claw back margins. When structural costs outpace flexibility, survival becomes less about customer numbers and more about margins.
Discover how payment APIs work, the various types accessible to UK businesses, and understand best practices for payment API integration. Trade bodies argue these are essential to stop closures and protect community hubs. Pubs use more energy than most venues due to refrigeration, lighting and kitchen needs, making energy hikes especially damaging.
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