Rail strikes hammer New Year’s Eve parties: Bosses warn bookings are down at pubs and bars because of travel chaos and cost of living crisis
- UK Hospitality said the cost of living crisis and strikes mean bookings are down
- Chief executive Kate Nicholls said rail strikes have cost the industry £2.3billion
- She also said the cost of living crisis is ‘suppressing demand and spend’
Rail strikes and the cost of living crisis are expected to mute New Year’s Eve celebrations as many have opted to stay in and bookings for bars, restaurants and pubs are ‘lower than expected’.
Despite RMT rail strike action ending at 6am yesterday, travellers have been warned services will be ‘significantly disrupted’ into 2023.
Trade body UK Hospitality, which represents 740 companies, claimed reservations for New Year’s Eve were lower than expected given that it is to be the first celebration on December 31 since Covid.
The body has blamed the cost of living crisis and rail strikes for low booking numbers at venues.
Rail strikes and the cost of living crisis are expected to mute New Year’s Eve celebrations
Despite RMT rail strike action ending at 6am yesterday, travellers have been warned services will be ‘significantly disrupted’ into 2023
Kate Nicholls, the body’s chief executive, said: ‘Nearly one in three pub and restaurant reservations were cancelled this December and bookings for New Year’s Eve remain soft,’ according to The Times.
She estimated that rail strikes have this year cost the hospitality industry around £2.3billion.
Ms Nicholls said: ‘This is a devastating amount for a sector still trying to recover from the pandemic and facing rising costs across the board, falling consumer confidence and a workforce crisis.’
She also told The Daily Telegraph: ‘With the cost of living further suppressing demand and spend, you’ve got that double whammy of not getting some cash in the tills [in December] and the danger of having a lower take in January and February.’
The RMT are conducting strike action on January 3, 4, 6 and 7 and Aslef, which represents 96 per cent of train drivers, have planned walk-outs on January 5.
However, there is no industrial action planned for the weekend of New Year’s Eve.
The RMT is conducting strike action on January 3, 4, 6 and 7 and Aslef, which represents 96 per cent of train drivers, has planned walk-outs on January 5. Pictured: A bar in Cardiff in 2021
Despite this, Network Rail, which manages infrastructure, warned journeys will be impacted right through the festive period, with fewer services and busier trains.
Some have even been advised not to travel unless ‘absolutely necessary’ until January 9.
But the cost of living crisis is also having a huge impact on the industry as many are feeling the pinch more than ever, resulting in a quieter December for pubs and restaurants.
Running costs remain at unprecedented levels, with energy bills now more expensive than rent and business rates combined in many cases.
Bosses warn many have opted to stay in and bookings for bars, restaurants and pubs are ‘lower than expected’. Stock image from Edinburgh 2021
Thousands of pubs are cutting trading hours or shutting their doors to protect themselves against soaring energy bills.
Industry research found that 86 per cent – almost 4,500 – are considering reducing trading hours this winter.
The same number are looking at closing one or two days a week, according to the British Beer and Pub Association (BBPA).
Business leaders had warned around 250,000 hospitality firms could be forced to shut without government intervention.
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