Published 8th Nov 2023, 08:54 BST

A number of hospitality chains have reported resilient demand from customers despite the continued increase in the cost of living.

Wetherspoons, which runs 816 pubs across the UK, said it recorded a 9.5 per cent rise in like-for-like sales over the 14 weeks to November 5.

This growth was particularly driven by a 10.7 per cent increase in its bar sales.

Pub giant JD Wetherspoon has revealed a jump in sales over the past quarter as it saw strong demand for its value-focused drink and food offer. (Photo by Victoria Jones/PA Wire)

Meanwhile, it reported food sales grew by 8.2 per cent, sales through slot and fruit machines was up 10 per cent and hotel room sales were up 6.2 per cent for the period.

During the latest quarter, the group said it opened one new pub at Heathrow airport.

It also sold four pubs and surrendered the lease of six other pubs.

Wetherspoons chairman Tim Martin said inflation pressures “have eased” in recent months but stressed that inflationary pressures are still above pre-pandemic levels, “putting pressure on suppliers and the wider economy”.

He added: “Sales in the first 14 weeks of the financial year have continued the pattern of gradual improvement which has followed the ending of lockdowns and restrictions.

“The company is increasing investment in existing pubs in the current financial year to approximately £70m.

“Areas of investment include new staff rooms, changing rooms, glass racks above bars and air conditioning.”

The update comes a month after the company revealed it swung back to a profit as it continued its post-pandemic recovery.

Last month, analysts said the chain would “benefit from trading down” by customers squeezed by the rising cost of living.

The company saw total sales rise by 10.6 per cent to £1.92bn for the year to July 30.

In October, Wetherspoons said like-for-like sales grew by 12.7 per cent year-on-year, as it benefitted from a significant rise in food sales, which increased by 17.7 per cent.

Last month, Mr Martin also told the PA news agency that the group’s focus on “the basics” and competitive pricing have driven its improved performance.

He said: “Wetherspoons is a resilient business. It has been around for 44 years and our staff have been working here for an average of 14 years.

“The business has been through nearly everything and remains strong.

“Working to remain very competitive in price has been very important over the past year because it has been difficult for everyone financially.

“We have focused on the basics – things like real ale and coffee – while making sure the pricing is right. That’s what has worked.”

Drinkers flock to pub giant Wetherspoons despite cost pressures as sales jump