Premier Inn owner anticipates £40m-£50m increase in business rates following Budget: Whitbread owner Premier Inn has said the measures announced in the Budget will lead to an increase in business rates of between £40m and £50m from its next financial year. The company also said its return to market growth in the UK has continued into the third quarter while market demand In Germany has “stepped up”. Whitbread stated: “This week’s UK Budget included a number of changes that are expected to impact the group's future financial performance, particularly significant increases in the rateable values for many hotels prompting a large increase in business rates. While we are still finalising the precise details, we are now in a position to give guidance on how we expect the changes to business rates will take effect in FY27; our preliminary estimate is that there will be an impact of between £40m and £50m. Including the estimated impact of the UK Budget, we now expect gross UK cost inflation (including business rates) to be between 7% and 8% on our £1.7bn UK cost base. However, with accelerated efficiencies of £60m [as previously announced] , net UK cost inflation is now expected to be between 3.5% and 4.5%. In the UK, the return to market growth has continued into the third quarter and we continue to trade well with positive revpar growth and our forward bookings remain ahead of last year. In Germany, market demand has stepped up since the second quarter, supported by a strong events calendar, and we continue to outperform the market. There is no change to our previously announced FY26 guidance and we remain confident in the full-year outlook.” Chief executive Dominic Paul said: “We are extremely disappointed with the outcome of this week's UK Budget, which will have a significant impact on our business and the wider hospitality industry. However, we have a strong track record of responding to inflationary headwinds by adapting our business and over time, we are well placed to mitigate their impact through careful management of our cost base and the delivery of significant cost efficiencies. To help mitigate the estimated impact of these changes, we will deliver accelerated cost efficiencies of £60m in FY27. Over the coming weeks and months, we will be exploring a variety of options in order to further drive profits, margins and returns.” Whitbread features in the Premium Club Turnover & Profits Blue Book, the latest edition of which features 1,182 companies. Whitbread’s turnover of £2,921,900,000 for the year to 27 February 2025 is the second highest in the database. Companies can now have an unlimited number of people receive access to Propel Premium for a year for £995 plus VAT – whether they are an operator or a supplier. The single subscription rate is £495 plus VAT for operators and £595 plus VAT for suppliers. Email kai.kirkman@propelinfo.com to upgrade your subscription.

Propel’s sector-leading guide to the UK’s 500 largest hospitality companies to be made free to Premium subscribers on day of publication: Propel’s sector-leading guide to the UK’s 500 largest hospitality companies is making its return – and will now be available to Premium Club subscribers on the day of publication. The Propel 500 – 2026 report will analyse the companies leading the charge in hospitality, reporting on turnover, number of sites and key staff. The 45,000-word report will feature exclusive analysis to provide a full understanding of the market’s dynamics, as the top companies in the sector shift position after a challenging year. Mark Wingett will review the mergers and acquisitions changing the shape of the Top 500 as size increasingly matters. Katherine Doggrell will examine the key developments in UK hotels and look into one of the sector’s brightest lights, experiential leisure, while Tim Street dissects the UK’s rapidly-developing franchise market. Data expert Mark Bentley, business development director at HDI, will look at emerging growth sectors, and Meaningful Vision founder Maria Vanifatova will analyse the latest trends in the quick service restaurant market. Propel 500 – 2026 will be released on Friday, 9 January at 9am and will be available free to Premium Club subscribers. The report will be available to non-Premium Club subscribers for £595 plus VAT. A Premium Club subscription costs an annual sum of £495 plus VAT for operators and £595 plus VAT for suppliers. Companies can now have an unlimited number of people receive access to Premium Club for a year for £995 plus VAT – whether they are an operator or supplier. Email kai.kirkman@propelinfo.com today to sign up and to pre-order Propel 500 – 2026.

Esquires owner reports UK sales up 18.6% in last eight weeks as momentum from first half of financial year continues, hits 100 sites in UK and Ireland: Cooks Coffee Company, owner of the Esquires brand, has reported sales in the UK were up 18.6% in the eight weeks to 24 November 2025 as it continued its momentum from the first half of the financial year. The company has also hit the 100-store mark in the UK and Ireland following the opening of its first site in partnership with Tesco in Ireland in Tullamore. Group revenue for the six months ending 30 September 2025 grew 111% to NZ$5.77m (£2.49m) compared with NZ$2.74m (£1.18m) the year before, with the increase attributed to company managed stores in Ireland following the partnership with Dairygold. Total store sales in the UK increased 26.7% to NZ$33.2m (£14.34m) “as the development in suburban areas and smaller market towns gained further momentum”. Like-for-like sales in the UK were up 3.5%. Group Ebitda for the period was NZ$0.61m (£263,471) compared with NZ$0.81m (£349,855) the year before. The previous year contained a credit adjustment of $166,000 (£71,670). The company stated: “The regional developer model in the UK has proved to be a significant driver of store growth, especially in the south and east of England. During the six months the St Neots store was renovated with sales showing a gain more than 22% for the first three months of opening post renovation compared with prior year sales. This store in a buoyant market town demonstrates the group's ability to adapt and respond to changing consumer patterns. The prospects for the company for the remainder of the financial year and beyond are encouraging as the trading momentum has continued and store sales trends have been very positive. There is a solid pipeline of new stores in both core markets of the UK and Ireland. The target of having 300 stores in the UK and Ireland by 2034 remains. Given the solid pipeline of new stores, the company expects that we will continue to grow the number of Esquires outlets operating in UK and Ireland by the end of March 2026 to 108.” Chief executive Aiden Keegan said: “The group expects to deliver a robust set of numbers for the full year.”