Butcombe Group CEO Jonathan Lawson has said the UK needs a “a clear plan for growth in the economy and the government needs to see hospitality as a provider of growth for the country, not a cash cow for taxation”.
Lawson, who was commenting as part of the group’s half year financials that revealed a 5.2% increase in like-for-like sales across its managed pub division, said it has been a highly encouraging half year, with all areas of the business delivering results that their teams should be very proud of.
He added: “Consistent growth in recent years has allowed the business to make significant investments in the estate, evolving to meet growing consumer demand for special occasions, weddings, and premium accommodation.
“I’m particularly encouraged given that these results have been delivered under trying conditions due to both our own government’s policies and global macroeconomic factors.
“I am now on the sixth Prime Minister since I joined Butcombe in 2019 and my request has not changed for Andy Burnham versus any of his predecessors.
“We need to see a clear plan for growth in the economy and the government needs to see hospitality as a provider of growth for the country, not a cash cow for taxation with a disproportionate cost base, which deters investment and employment.
“As a business, we are optimistic for the second half of the year, with strong early bookings for Christmas. We are also now well into planning for next year and a continuation of our multi-year growth trajectory with new sites playing a part in that growth.
“The new Prime Minster has the ability to assist this growth for us and the sector if he delivers on his promises and recognises the economic engine hospitality can be”.
In its results volume and sales growth were recorded across all three core operational categories, with food delivering 4.7% like-for-like growth, drink reaching 5.7%, and accommodation achieving 5.2%.
The Butcombe Brewing Co and Drinks business has continued to grow with an especially strong performance in the UK Free Trade growing 7% with product innovation, such as the upcoming collaboration with Hawkstone expected to drive further listings and rate of sale in the free trade in the second half of the year.
In the Off-Trade, revenue surged by 11%, driven in part by significant listing growth of both Butcombe Original, since the product’s format extension to cans, and Goram Zero, Butcombe’s award-winning low alcohol beer, which is set to enter 200 M&S stores.
