Newcastle's hospitality industry grows by 12.7%- beating London and other major cities

Newcastle's hospitality industry experienced a 12.7% sales growth in 2023 emerging as a standout performer across the North.

Trailing only behind Edinburgh, new research conducted by Northern Restaurant & Bar in partnership with CGA by NielsenIQ reveals the city's growth surpassed London at 10.8% and the national average on 8.1%.

The city has witnessed a plethora of noteworthy new establishments such as Osters, Gaucho, and Ophelia. Additionally, established restaurants like Lovage in Jesmond have achieved recognition in the Michelin Guide, while Solstice secured a spot in Harden's Top 100 Best UK Restaurants, contributing to the overall success of the dining scene. 

Despite a 2.5% decline in total venue numbers across the British pub, bar, and restaurant sector in the latest year to October, the industry remains dynamic, witnessing an average of 48 new openings per week. This ongoing activity signals a significant level of renewal. Business leaders are also generally optimistic about the prospects of their own business in the next 12 months. This sentiment is stronger in the north, where 59% of leaders expressed confidence in the sector, compared to 51% in the south.

Notably, Newcastle (-1.2%- percentage change in number of venues) along with other northern cities such as Liverpool (-0.8%) and Chester (-1.0%) have proven more resilient than London (-2.2%) and the national average, in terms of the number of outlets. With over a quarter (26%) of new openings in the North, this resilience is particularly noteworthy against a backdrop of rising energy prices, food and drink inflation, and increased National Living Wages.

Siobhan Thompson, Event Manager for NRB24, commented: "The results underscore the strength, resilience, and ambition of Northern hospitality establishments. Despite shared challenges in the sector, operators in cities like Liverpool, Manchester, Sheffield, and Newcastle have demonstrated innovation and optimism in the face of issues such as rising utility prices, food inflation, and staffing concerns. While challenges persist, it's heartening to witness the industry's adaptability and positivity. The surge in new concepts, site launches, and the enthusiastic influx of customers through the doors offer a much-needed burst of positivity."

"NRB plays a crucial role as the first opportunity of the year for the industry to unite, offering support and a platform to celebrate Northern hospitality. It serves as an invaluable space for forward-thinking operators to share stories, exchange advice, and connect with suppliers, fostering innovation and inspiration. With brilliant operators, hopefully fueled by ideas and inspiration from NRB, I know Northern hospitality can continue to thrive."