Full-Service Restaurants in the UK - Market Research Report (2014-2029)
London, United Kingdom
Last Updated: July 2024
SIC I56.101Revenue
£23.9bn
Past 5-Year Growth
Profit
£XXX.Xm
Employees
507k
Businesses
23,102
Wages
£X.Xbn
Full-Service Restaurants in the UK industry analysis
Over the five years through 2024-25, full-service restaurant revenue is expected to edge downwards at a compound annual rate of 1.5%. It's no secret the restaurant industry has struggled in recent years. Pandemic stay-at-home restrictions meant operationaal costs became unmanageable, pushing many restaurants out of the industry. Even before lockdowns, steep business taxes and rent prices drove many out of the market. Even afterwards, restaurants faced rampant inflation, rising food prices and inventory bills. As consumers grapple with eroding incomes, passing on price hikes isn't the best idea. Staffing shortages, exacerbated by Brexit's points-based immigration system, persist despite wage hikes and more efforts are needed to fill gaps.
Trends and Insights
- Health-conscious menus are on the rise. UK restaurants are increasingly introducing nutritious and plant-based options to cater to growing consumer demand for healthier meals.
- Rising health consciousness boosts sales of healthy meals. Consumers increasingly prefer vegetarian and vegan menu items, leading to higher revenue from on-premises meals in restaurants.
- High spending drives London's restaurant scene. With the highest disposable income and a concentration of tourists, the capital sees upscale dining establishments flourish.
- Buyers influence consumption trends. Restaurants must adapt to evolving customer preferences to maintain demand and ensure operational efficiency.
Industry Overview
Market size and recent performance (2014-2029)
Industry revenue has grown at a CAGR of 1.5 % over the past five years, to reach an estimated £23.9bn in 2024.
Trends and Insights
Vegetarian and veganism boost menu options
- Ever-growing health consciousness has driven the rapid introduction of healthy menu items, including vegetarian and vegan options.
- Additional trends and insights available with purchase
Industry outlook (2024-2029)
Market size is projected to grow over the next five years.
Trends and Insights
New menus, cuisines and sustainability to thrive
- Veganism and plant-based menus are here to stay as health and environmental consciousness grow.
Biggest companies in the Full-Service Restaurants in the UK
| Company | Market Share (%)
2025 | Revenue (£m)
2025 |
|---|---|---|
Mitchells & Butlers plc | 991.4 | |
Nando's Chickenland Ltd | 929.3 | |
Whitbread plc | 845.4 |
To view the market share and analysis for all 5 top companies in this industry, view purchase options.
Products & Services Segmentation
Full-Service Restaurants in the UK
Products & Services
Industry revenue is measured across several distinct product and services lines, including Meals for consumption on the premises, Alcoholic beverages and Non-alcoholic beverages. Meals for consumption on the premises is the largest segment of the Full-Service Restaurants in the UK.
Trends and Insights
The rising popularity of healthy meals is driving demand for meals for consumption on the premises
- Consumers go to a restaurant and judge it based on the price and theme of its menu, its success or failure resting on its menu offering and the quality of the food on offer.
- More insights available in the full report
Widen you competitive advantage with related industries
Competitors
- Takeaway & Fast-Food Restaurants in the UK
Complementors
- Food-Service Contractors in the UK
- Nightclubs in the UK
- Pubs & Bars in the UK
International industries
- Chain Restaurants in the US
- Single Location Full-Service Restaurants in the US
- Italian Restaurants in the US
- Mexican Restaurants in the US
- Sushi Restaurants in the US
Table of Contents
About this industry
Industry definition
This industry is composed of sit-down restaurants where customers are served while seated or serve themselves at a kiosk. This industry includes both licensed and unlicensed restaurants, but not cafes and takeaway establishments.
What's included in this industry?
Sit-down mealsAlcoholic beveragesNon-alcoholic beveragesPrivate functionsCompanies
Mitchells & Butlers plcNando's Chickenland LtdWhitbread plcPurchase this report to view all 5 major companies in this industry.
Related Terms
SIT-DOWN MEALSLICENSEDWET-LEDIndustry Code
SIC 56.10/1 - Full-Service Restaurants in the UK
Performance
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Analyst insights
Health-conscious menus are on the rise. UK restaurants are increasingly introducing nutritious and plant-based options to cater to growing consumer demand for healthier meals...
In this chapter (4)
- Current Performance
- Outlook
- Volatility
- Life Cycle
Key metrics
- Annual Revenue, Recent Growth, Forecast, Revenue Volatility
- Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
- Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
- Total Profit, Profit Margin, Profit per Business
Charts
- Revenue, including historical (2014-2023) and forecast (2024-2029)
- Employees, including historical (2014-2023) and forecast (2024-2029)
- Businesses, including historical (2014-2023) and forecast (2024-2029)
- Profit, including historical (2014-2024)
- Industry Volatility vs. Revenue Growth
- Industry Life Cycle
Detailed analysis
- Trends in supply, demand and current events that are driving current industry performance
- Expected trends, economic factors and ongoing events that drive the industry's outlook
- Key success factors for businesses to overcome volatility
- How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.
Products and Markets
Learn about an industry's products and services, markets and trends in international trade.
Analyst insight
Rising health consciousness boosts sales of healthy meals. Consumers increasingly prefer vegetarian and vegan menu items, leading to higher revenue from on-premises meals in ...
In this chapter
- Products & Services
- Major Markets
Key metrics
- Largest market segment and value in 2024
- Product innovation level
Charts
- Products & services segmentation in 2024
- Major market segmentation in 2024
Detailed analysis
- Trends impacting the recent performance of the industry's various segments
- Innovations in the industry's product or service offering, specialization or delivery method
- Key factors that successful businesses consider in their offerings
- Buying segments and key trends influencing demand for industry products and services
Geographic Breakdown
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
Analyst insights
High spending drives London's restaurant scene. With the highest disposable income and a concentration of tourists, the capital sees upscale dining establishments flourish.
In this chapter (1)
- Business Locations
Charts
- Share of revenue, establishment, wages and employment in each region
- Share of population compared to establishments in each region in 2024
Tables
- Number and share of establishments in each region in 2024
- Number and share of revenue each region accounts for in 2024
- Number and share of wages each region accounts for in 2024
- Number and share of employees in each region in 2024
Detailed analysis
- Geographic spread of the industry across Europe, and trends associated with changes in the business landscape
- Key success factors for businesses to use location to their advantage
Competitive Forces
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Analyst insights
Buyers influence consumption trends. Restaurants must adapt to evolving customer preferences to maintain demand and ensure operational efficiency.
In this chapter (4)
- Concentration
- Barriers to Entry
- Substitutes
- Buyer & Supplier Analysis
Key metrics
- Industry concentration level
- Industry competition level and trend
- Barriers to entry level and trend
- Substitutes level and trend
- Buyer power level and trend
- Supplier power level and trend
Charts
- Market share concentration among the top 4 suppliers from 2019-2024
- Supply chain including upstream supplying industries and downstream buying industries, flow chart
Detailed analysis
- Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
- Key success factors for businesses to manage the competitive environment of the industry.
- Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
- Key success factors for potential entrants to overcome barriers to entry.
- Competitive threats from potential substitutes for the industry’s own products and services.
- Key success factors for how successful businesses can compete with substitutes.
- Advantages that buyers have to keep favorable purchasing conditions.
- Advantages that suppliers have to maintain favorable selling conditions.
- Key success factors for how businesses can navigate buyer and supplier power.
Companies
Learn about the performance of the top companies in the industry.
Analyst insights
The largest players are chains with multiple brands and operations.Different brands mean each group can capture a more diverse market, expanding their revenue potential.
In this chapter
- Market Share Concentration
- Companies
- Company Spotlights
Charts
- Industry market share by company in 2020 through 2024
- Major companies in the industry, including market share, revenue, profit and profit margin in 2024
- Overview of Mitchells & Butlers plc's performance by revenue, market share and profit margin from 2018 through 2024
- Overview of Nando's Chickenland Ltd's performance by revenue, market share and profit margin from 2018 through 2024
- Overview of Whitbread plc's performance by revenue, market share and profit margin from 2018 through 2024
- Overview of revenue, market share and profit margin trend for 2 additional companies
Detailed analysis
- Description and key data for Mitchells & Butlers plc, and factors influencing its performance in the industry
- Description and key data for Nando's Chickenland Ltd, and factors influencing its performance in the industry
- Description and key data for Whitbread plc, and factors influencing its performance in the industry
- Description, key data and performance trends for 2 additional companies
External Environment
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Analyst insights
A new calorie labelling law affects large businesses. Large restaurants now must display calorie information, helping consumers make informed decisions about their food and d...
In this chapter
- External Drivers
- Regulation & Policy
- Assistance
Key metrics
- Regulation & policy level and trend
- Assistance level and trend
Charts
- Regulation & Policy historical data and forecast (2014-2029)
- Assistance historical data and forecast (2014-2029)
Detailed analysis
- Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
- Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
- Key governmental and non-governmental groups or policies that may provide some relief for industry operators.
Financial Benchmarks
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Analyst insights
Rising wages strain profit. Post-pandemic labour shortages and a reduced EU workforce drive up salaries, increasing wage expenses in the hospitality sector.
In this chapter
- Cost Structure
- Financial Ratios
- Key Ratios
Key metrics
- Profit margin, and how it compares to the sector-wide margin
- Average wages, and how it compares to the sector-wide average wage
- Largest cost component as a percentage of revenue
- Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio
Charts
- Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Investment vs. share of economy
Data tables
- Liquidity Ratios (2018-2022)
- Coverage Ratios (2018-2022)
- Leverage Ratios (2018-2022)
- Operating Ratios (2018-2022)
- Assets (2018-2022)
- Liabilities (2018-2022)
- Cash Flow & Debt Service Ratios (2014-2029)
- Revenue per Employee (2014-2029)
- Revenue per Enterprise (2014-2029)
- Employees per Establishment (2014-2029)
- Employees per Enterprise (2014-2029)
- Average Wage (2014-2029)
- Wages/Revenue (2014-2029)
- Establishments per Enterprise (2014-2029)
- IVA/Revenue (2014-2029)
- Imports/Demand (2014-2029)
- Exports/Revenue (2014-2029)
Detailed analysis
- Trends in the cost component for industry operators and their impact on industry costs and profitability
Key Statistics
Industry Data
Data Tables
Including values and annual change:
- Revenue (2014-2029)
- IVA (2014-2029)
- Establishments (2014-2029)
- Enterprises (2014-2029)
- Employment (2014-2029)
- Exports (2014-2029)
- Imports (2014-2029)
- Wages (2014-2029)
Methodology
How are IBISWorld reports created?
IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.
Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.
IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.
What data sources do IBISWorld analysts use?
Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.
Key data sources in the UK include:
- Office for National Statistics
- Office for Budget Responsibility
- Bank of England
Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.
These sources include:
- Industry and trade associations
- Industry federations or regulators
- Major industry players annual or quarterly filings
Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.
How does IBISWorld forecast its data?
IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.
IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.
Learn more about our methodology and data sourcing on the Help Center.
Frequently Asked Questions
Unlock comprehensive answers and precise data upon purchase. View purchase options.
What is the market size of the Full-Service Restaurants in the UK industry in United Kingdom in 2024?
The market size of the Full-Service Restaurants in the UK industry in United Kingdom is £23.9bn in 2024.
How many businesses are there in the Full-Service Restaurants in the UK industry in 2024?
There are 23,102 businesses in the Full-Service Restaurants in the UK industry in United Kingdom, which has declined at a CAGR of 4.2 % between 2019 and 2024.
Has the Full-Service Restaurants in the UK industry in United Kingdom grown or declined over the past 5 years?
The market size of the Full-Service Restaurants in the UK industry in United Kingdom has been growing at a CAGR of 1.5 % between 2019 and 2024.
What is the forecast growth of the Full-Service Restaurants in the UK industry in United Kingdom over the next 5 years?
Over the next five years, the Full-Service Restaurants in the UK industry in United Kingdom is expected to grow.
What are the biggest companies in the Full-Service Restaurants in the UK market in United Kingdom?
The biggest companies operating in the Full-Service Restaurants market in United Kingdom are Mitchells & Butlers plc, Nando's Chickenland Ltd and Whitbread plc
What does the Full-Service Restaurants in the UK in United Kingdom include?
Sit-down meals and Alcoholic beverages are part of the Full-Service Restaurants in the UK industry.
Which companies have the highest market share in the Full-Service Restaurants in the UK in United Kingdom?
The company holding the most market share in United Kingdom is Mitchells & Butlers plc.
How competitive is the Full-Service Restaurants in the UK industry in United Kingdom?
The level of competition is high and increasing in the Full-Service Restaurants in the UK industry in United Kingdom.
