Since 2010, the number of British restaurant insolvencies has doubled. In 2018, it hit a record high, according to Price Bailey accountants. The restaurant industry has been struggling in recent years due to market saturation and increasing competition from delivery businesses.
Paul Pittman, Partner at Price Bailey, said that 2018 was easily the toughest year for the sector. Furthermore, he said, “The challenging trading conditions facing the restaurant sector show no signs of improving.”
New restaurants are often prone to insolvency, as they feel the effects of tightening consumer budgets more so than a well-developed chain restaurant. However, chain restaurants are not above concern, as consumer trends can change in an instant, meaning that what was popular in summer, may have faded out by winter.
Restaurant insolvencies in Britain reach record
