Overview
- The chain told investors it is considering selective price increases next year rather than broad hikes.
- Wagamama projects staff and food-and-drink costs will rise 4–5% in 2026, with other costs excluding energy up 2–3%.
- Employer National Insurance rose to 15% in the 2024 Budget, and April brings minimum wage increases to £10.85 for 18–20-year-olds and £8 for 16–17-year-olds.
- To protect volumes, the company has leaned on value deals and a loyalty programme, with customer numbers up 2% in the 11 weeks to 14 December after earlier declines.
- Sector pressures persist, with Pizza Hut UK entering administration and closing sites, TGI Fridays planning 35 closures, job cuts at Gordon Ramsay’s restaurants, and concerns over higher business rates from April.