CLH News

Nightmare Before Christmas For Small Business Water Bills Small businesses face 42 per cent rises in water bills over the next five years Responding to Ofwat’s decision to allow water companies to increase small businesses’ water bills by an average of 42 per cent before inflation between 2025-2030, Tina McKenzie, Policy Chair at the Federation of Small Businesses (FSB), said: “The news just before Christmas that small firms will see a far greater rise in their water bills than expected over the next five years is the kind of stocking filler the small business community really did not want to receive. “Small firms had been bracing for a rise in water bills of over a quarter, so news that the rise will in fact be significantly higher than that, at 42 per cent, is deeply concerning, and very hard to swallow. “Small firms are already facing a grim financial landscape moving into the new year. Our research found that nearly half of small firms pointed to the cost of utilities as one of the main drivers of operating cost increases. “Decisions like today’s show that the system as it stands is not currently working for small firms, and for other customers. The Government has set up an independent commission on the water sector regulatory system, to make the regulation of water more cohesive and less fragmented – something small firms believe is desperately needed, after years of rising bills and worsening water quality. “We also welcome the Environment, Food and Rural Affairs Committee’s new inquiry, announced today, on reforming the water sector. “Ofwat and the water companies say that the rises in bills for domestic and non-domestic customers are needed to fix the country’s creaking water infrastructure. “It is unacceptable for Ofwat to acquiesce to using small firms as a cash cow. Small firms are hard-pressed on all fronts in terms of margins, and the proposed rises could leave many of them underwater.” Read More:

Millions of Brits Planning A Domestic Festive Holiday, Bringing £2.5 Billion Boost To Economy VisitEngland’s Christmas Trip Tracker Survey reveals that 8.8 million Brits are planning an overnight holiday trip in the UK during the Christmas and New Year period, bringing an estimated £2.5 billion boost to the economy. The figures are on par with last year’s, 2023, results. In 2022, 5.8 million Brits planned to take an overnight holiday trip in the UK during the festive season. Among those definitely planning an overnight holiday trip in England, 50% are planning on taking two or more trips during the festive period. The survey also shows that 6% of Brits have yet to decide if they will take an overnight trip in England during the festive season. The top reasons are ‘waiting to see what the weather is like’ followed by ‘still trying to find somewhere available to stay’ and ‘waiting to see if there are any special deals/offers.’ VisitEngland CEO Patricia Yates said: “It is encouraging to see so many of us are planning a short break with friends and family during the festive season, boosting the economy through tourism. From festive light trails and buzzing Christmas markets to walks in the countryside with a cosy pub lunch, destinations are offering year-round experiences and attractions catering for everyone and tempting Brits to explore beyond their doorstep.” “We also know from destinations across England that 2024 has been a very mixed picture for many areas, with the weather also having an impact. Our latest consumer sentiment research shows that many people are booking last minute breaks, wanting to save on accommodation, activities and seeking good value options, making it more difficult for businesses to plan in advance. So please do go out and explore the amazing destinations and attractions here on our doorstep this festive season, tourism businesses will be very pleased to see you and I am sure you will have a fantastic time.” Popular seasonal activities Brits plan to do this year, after visiting friends and family, include going out for a meal (42%), visiting a Christmas market (38%) and shopping at the post-Christmas sales (35%). One-in-five (20%) will participate in outdoor activities such as walking or cycling. Of those surveyed, younger people are more likely to spend money at seasonal shopping events, with 42% of 16-to-24-year-olds planning to shop at post-Christmas sales and 40% planning to visit a Christmas market. For those not planning an overnight holiday trip in England, the top reason is ‘I cannot afford it.’ The findings reflect the latest monthly wave of our wider domestic consumer sentiment towards travel, published on 21 November, which showed that the top perceived barriers to taking overnight holiday trips in the next six months were the ‘rising cost of living’ followed by ‘UK weather’ and ‘personal finances.’ Read More: https://lnkd.in/eVh8NvHf

Energy Ombudsman Extends Access to Small Businesses Small businesses with up to 50 employees are now (from Thursday 19th December 2024) be eligible to access Energy Ombudsman’s independent dispute resolution services for the first time. Energy Ombudsman, approved by Ofgem, provides a free and impartial service that aims to resolve disputes between consumers, suppliers and brokers in the energy sector. The expanded remit will allow small businesses to resolve disputes with energy suppliers and energy brokers without resorting to costly and time-consuming court proceedings. Ed Dodman, Managing Director and Chief Ombudsman for Energy said: “One of our key priorities is ensuring all consumers have full access to our service. We also believe businesses should have the same access as domestic consumers, therefore the extension of support for small businesses is very much welcomed. This means that more businesses have access to a free, impartial and independent body to help them resolve disputes with their energy supplier or energy broker. By extending the services to cover all small businesses, it fills an existing protection gap and means more organisations will be able to access the support they need.” The expanded remit was first announced in April 2024 by the Department for Energy Security and Net Zero (DESNZ) as part of a broader initiative by the government and Ofgem to address hidden fees, billing issues, and the mis-selling of energy services. The changes ensure businesses can access free support to resolve disputes related to their energy contracts. Minister for Energy Consumers, Miatta Fahnbulleh said: “Small businesses are at the heart of our mission to deliver growth, which is why we are making sure that disputes with energy suppliers do not unfairly hold them back.   “By extending Energy Ombudsman’s remit, 99% of UK businesses will now have an easy route to resolve issues with their supplier, if they arise, without disruption or costly court cases. “It is a crucial step towards securing more comprehensive protections for energy consumers – making sure even more businesses can access the support they need no matter what their size.” Previously, businesses with more than 10 employees had limited options for redress, with court proceedings often being the only recourse. This extension represents a major step forward in providing consumer protections for small organisations from unfair practices. To coincide with its extended remit, Energy Ombudsman has announced an increase in the maximum award for non-domestic disputes with energy suppliers from £10,000 to £20,000, effective from 19 December 2024. These changes aim to improve trust and transparency within the energy sector while offering businesses a simpler, free route to resolving complaints, and help with business energy bills. For more information on Energy Ombudsman and its remit extension visit: https://buff.ly/4frar9x Read More: https://c…

Guinness Supply Challenges to Persist Until End of December, Diageo Confirms UK pubs and bars will face ongoing restrictions on Guinness supplies until the end of December, according to brewer Diageo. The company has announced plans for a “phased replenishment of the supply chain” starting in January to ensure venues are adequately stocked for the Guinness Six Nations rugby tournament later that month. Despite these plans, Diageo has cautioned that Guinness distribution will remain on a "managed basis" throughout December. The pressure on stocks, which began approximately three weeks ago, appears to have varying impacts across the hospitality sector. While JD Wetherspoon reported being "fully stocked" with Guinness and expecting further deliveries, other operators have not been as fortunate. Shaun Jenkinson, operations director at the Irish pub chain Katie O’Brien’s, which runs seven venues across England, highlighted the difficulties they’ve faced. “This has been an incredibly inconvenient challenge at the busiest time of year,” said Jenkinson. “The more awareness there is that this is a national supply issue rather than poor management by pubs, the better.” According to Jenkinson, Katie O’Brien’s has only received 70% of its required Guinness stock over the past two weeks. He added, “Ordering stock has become incredibly complicated, relying on multiple wholesalers with varying ordering parameters. There has been no clear communication from Diageo on when the situation will improve, only continued warnings from wholesalers about the likelihood of further shortfalls as Christmas approaches.” At this week’s UKHospitality Christmas lunch, a Guinness-branded bar served drinks to attendees, though the mention of the brand drew pantomime-style boos from operators, reflecting the frustration among many in the industry. Some smaller London venues have resorted to creative solutions, such as introducing “ration cards” for customers due to dwindling keg supplies. Meanwhile, several larger pub chains have declined to comment, citing the issue as a national supply problem. The current strain on Guinness supplies follows a surge in demand throughout the summer and autumn. According to CGA data, while total beer category volumes fell by 0.5% between July and October, Guinness bucked the trend with a remarkable 20.9% rise over the same period. Additional factors contributing to the shortage include the autumn rugby internationals in November and the stout’s growing popularity among younger women. These trends have combined to create unprecedented demand, leaving some venues struggling to keep up during the critical festive season. A Diageo spokesperson said: “We are grateful to all our customers for their engagement, collaboration and patience over the past three weeks. We are producing more Guinness today than we ever have in our 265-year history, and we continue to work closely with customers across our network to manage Guinness distribution as…

Alcohol Avoidance Trend Set to Continue in UK Through Festive Season, says Globaldata The demand for low- and no-alcohol drinks is on the rise as consumers increasingly seek healthier alternatives and choose sobriety to better enjoy their social moments. The increase in demand for these beverages during the Christmas season is particularly noteworthy, as it highlights the growing acceptance in a time when drinking is considered part of culture. Aligning with these new developments, a survey showed that 45% of consumers sometimes or regularly drink low or no-alcohol beverages. As such, the alcohol avoidance trend is expected to continue in the UK during the festive season, according to analytics company GlobalData. According to GlobalData, the "alcohol avoidance trend" is expected to drive the UK non-alcoholic beverage market over a £500 million category in 2024, representing a double-digit growth from the previous year. The no- and low-alcohol beer market in the UK is projected to grow by 15%. George Shaw, Beverage Analyst at GlobalData, comments: “The moderation movement has led to the creation of alcohol-free alternatives and increased competition in the soft beverage market. In the UK, Almave Bianco, introduced by Lewis Hamilton’s Almave, represents a significant step in the non-alcoholic spirits market of growing demand for high-quality non-alcoholic beverages that mimic traditional spirits.” “The association with Lewis Hamilton brings aspirational branding and credibility, resonating with fans of the sport and lifestyle. This targets health-conscious consumers and those embracing the sober-curious movement, especially Gen Z and Millennials seeking alcohol-free alternatives for social occasions.” Shaw adds: “According to GlobalData Q3 UK Consumer Survey, it is evident that the demand for low and no-alcohol drinks is prominent. This indicates a significant shift in consumer preferences towards healthier options. The change is likely driven by a combination of factors, including health consciousness, the desire for more inclusive social experiences, and the availability of high-quality options in the market.” According to the GlobalData Q3 UK Consumer Survey, 77% of UK consumers consider how a product or service impacts their health and well-being to be of somewhat, often, or always influence. By incorporating this insight into their marketing strategies and product development, alcohol brands can better position themselves to meet the evolving demands of consumers and capitalize on the growing market for low and no-alcohol drinks. Shaw concludes: “The rise in demand for low and no-alcohol drinks is a significant trend that alcohol brands cannot ignore. With consumers increasingly opting for healthier alternatives and prioritizing their health and wellbeing, it is crucial for brands to adapt and provide options that cater to these changing preferences.” Read More: https://lnkd.in/egDf7twV

Bank of England Maintains Interest Rates at 4.75% Amid Economic Uncertainty The Bank of England has decided to keep interest rates unchanged at 4.75%, following a recent vote by its nine-member monetary policy committee. However, three members of the committee expressed a preference for a reduction in the rate to 4.5%. The Bank's latest economic outlook suggests that the UK economy has performed more poorly than anticipated between October and December. This has led to growing speculation about a potential rate cut in the near future, with the possibility of the first reduction occurring as early as February. Bank of England Governor Andrew Bailey commented on the decision, stating, "We believe a gradual approach to any future interest rate cuts is the correct strategy, but given the current level of economic uncertainty, we are unable to predict with confidence when or by how much rates may decrease in the coming months." Dave Ramsden, one of the Bank's deputy governors, cited "sluggish demand" and a "weakening labour market" as key concerns influencing the current stance. Despite inflation and wage growth remaining higher than expected, the UK economy is facing ongoing challenges. In its November forecast, the Bank had projected economic growth of 0.3%, but it now revises this estimate to flat growth of 0%. Kate Nicholls, Chief Executive of UKHospitality, said: “It’s disappointing that the Bank of England has held interest rates today.” “A rate cut could have helped incentivise economic growth and relieve the pressure of high interest rates on businesses, particularly those in hospitality saddled with Covid loan repayments.” “While inflation increasing for the second consecutive month is concerning, generating economic growth has to be the priority.” “Interest rates coming down and a rethink of changes to employer NICs will both be critical components in providing hospitality businesses with the financial headroom they need to invest and grow.” Read More:

Spread Joy, Not Fear- Diners Urged To Be Kind To Hospitality Staff This Christmas As the holiday season ramps up, HR services company UKG is urging party-goers to show kindness to frontline hospitality and food service workers who bear the brunt of festive stress and abuse. Research conducted by UKG reveals that a 22% of frontline hospitality and foodservice workers report that customers have negatively impacted their physical health with a further 23% saying it had negatively impacted their mental health. The survey, part of UKG’s Perspectives from the Frontline Workers report, found that nearly a quarter (24%) of frontline hospitality and foodservice workers considered quitting their jobs due to customer behaviour, and a third (30%) are feeling burnt out. Unsurprisingly, 43% expressed a need for more customer service training to better handle difficult situations. However, the answer doesn’t lie solely in upskilling. "In recent years, the hospitality and foodservice industry has faced numerous challenges that threaten the safety and wellbeing of its workers. From the pandemic to political instability and the cost-of-living crisis, these issues highlight the urgent need to implement measures that protect the workforce." says Neil Pickering, Senior Manager, Human Insights, at UKG. Continuing, he added: "Over the festive period, workforce management technology, like UKG, can play a part in ensuring our hospitality workers are in the right place, at the right time, to serve customers. I urge all diners to be kind and respectful to our hard working hospitality colleagues during the Christmas holidays and the year ahead.” Read More:

Dalloway Terrace Receives Its First AA Rosette Dalloway Terrace at The Bloomsbury, a restaurant well known for its seasonal transformations from lush summer gardens to winter wonderlands, is proud to announce it has been awarded its first AA Rosette. The AA Rosette, which awards venues based on their commitment to culinary excellence, has recognised Dalloway Terrace for its “interesting and enjoyable selection of dishes”. The report also noted that the restaurant is very well presented with a lovely ambience for diners, scoring the food and service 88% and 87% respectively. The Rosette has been awarded shortly after Executive Chef Trevor Kliaman joined the dedicated team. Previously head chef at the St Andrews Bar and Grill, Trevor joins from Fairmont Southampton, were he also received an AA rosette award for his ambitious dining concept. Dalloway Terrace General Manager, Giovanni Spezziga commented: “We are extremely pleased and proud to receive our first AA Rosette - it’s an incredible achievement for our entire kitchen and service team who consistently work hard to deliver such outstanding food quality. We strive to offer guests an unforgettable dining experience within gorgeous surroundings and it’s great to be recognised for doing just that.” Read More:

First Look At Pedn Olva’s Visionary New Transformation In St Ives Is Unveiled St Austell Brewery has announced a multi-million-pound investment at one of St Ives’ most iconic venues. The Pedn Olva, prominently positioned overlooking Porthminster Beach, will close in January and reopen in early summer 2025. The major scheme includes reconfigured layouts, enhanced accessibility, improved flow, and new outdoor spaces to make the most of the unrivalled location. Working closely with regional suppliers, and carefully curated partners, locally-sourced materials such as granite will feature prominently throughout the project. Natural elements, including wood and copper, will add texture and character, further nodding to the neighbouring coastline. The transformation scheme also includes the reimagining of 26 bedrooms. Larger windows will frame the sweeping ocean views, while rooms – a mix of sizes and styles – will incorporate colours and materials inspired by the coast. Expect reclaimed driftwood headboards, whitewashed cladding, and warm tones of rust and blue. Nespresso machines, rainfall showers and Hypnos mattresses will be standard across all rooms, alongside mini bars offering St Austell Brewery’s acclaimed beers. Kevin Georgel, Chief Executive, St Austell Brewery, said: “This multi-million-pound transformation is designed to redefine the guest experience at one of our most iconic sites and create a space for the Pedn Olva where innovative design harnesses its unparalleled location. “Our vision for this project is clear: we want to create a space which better celebrates the Pedn Olva’s breathtaking surroundings. It’s an ambitious project that will unlock the venue’s true potential and open up more panoramic views of the sea. Reimagining and redesigning the interiors will create more inviting spaces that bring the outdoors in. “The pub with room’s spaces will be radically redesigned to seamlessly blend with the natural landscape; from floor-to-ceiling windows to expansive terraces, every detail has been carefully planned to maximise light, enhance the connection to the environment, and showcase the beauty of the coast.” Kevin added: “Our aspiration is to create a warm and welcoming pub atmosphere, year-round. A space where locals and visitors alike can relax, eat well or simply enjoy a drink taking in the surroundings. We look forward to giving our guests a very warm welcome once the Pedn Olva reopens in early summer 2025.” Read More:

Sky Business Backs Pubs With Pubaid Sponsorship Of PDC World Darts Championship Players In a show of support for pubs during the busy December trading period, Sky Business has donated its shirt sponsorship of PDC World Darts Championship players to PubAid, the positive voice for UK pubs. During the opening matches which took place at the start of the week, PubAid had the sleeve sponsorship for Ryan Joyce, Robert Owen and Ryan Meikle. The partnership will continue for the duration of the tournament which started on Sunday 15th December and ends Friday 3rd January. Every match of the tournament is being televised live on Sky Sports from the Alexandra Palace giving significant exposure to PubAid, which raises awareness of the role that pubs have within their community. James Tweddle, Director of Hospitality at Sky Business, said: “For many people, playing and watching darts is synonymous to the local pub so increasing the visibility of UK pubs and the impact they have on communities at the World Championship is a perfect pairing.” This is the second year that Sky has supported the hospitality industry via the sponsorship donation to PubAid. Des O’Flanagan, co-founder of PubAid, said: “The PDC World Darts Championship is an iconic tournament watched by millions so we’re delighted to make such a prominent appearance. Our role is more important than ever and we must continue to highlight the impact that pubs have on wider society. They are of significant importance to local communities, they raise millions collectively for charity every year, the list of what we know they do is endless, yet the rate of closure is high. “We wish the best of luck to our sponsored players as the tournament progresses.” After winning his opening heat, Ryan Meikle will now play Luke Littler on 21st December - the 17-year-old sensation who shot to fame in the tournament last year and became one of the most talked about teenagers this year. Read More: