Wetherspoons ‘cautious’ ahead of November Budget
Sir Tim Martin outlines how Budget may impact Wetherspoon pubs
- Pub group JD Wetherspoon reported a 3.7 per cent increase in like-for-like sales over the first 14 weeks of its financial year, ending 2 November.
- The sales growth was primarily driven by a 5.7 per cent rise in bar sales and an 8.9 per cent jump in slot and fruit machine revenue, although hotel room sales saw a 6.3 per cent decline.
- Chairman Sir Tim Martin expressed caution regarding the company's outlook for the remainder of the year, ahead of the Chancellor's upcoming Budget statement.
- Wetherspoon is experiencing a significant surge in staff costs, estimated at an additional £60 million annually, due to recent government policies including wage increases and national insurance contributions.
- Sir Tim highlighted that a 10 per cent wage rise could increase the cost of a pint by approximately 15p in pubs, dramatically widening the pricing differential with supermarkets.