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Wetherspoon Turns Cautious as Costs Climb Despite 3.7% Sales Growth

Management warns policy-driven cost increases are squeezing margins.

Overview

  • Like-for-like sales rose 3.7% in the 14 weeks to 2 November, with bar revenue up 5.7% and hotel room sales down 6.3%.
  • The company says increases to wages, national insurance, energy charges and packaging taxes have added about £60 million to annual costs.
  • Tim Martin said a 10% wage rise would add roughly 15p to the price of a pub pint compared with about 1.5p in a supermarket.
  • The group adopted a slightly more cautious outlook ahead of the 26 November Budget after the Chancellor warned of possible income tax rises.
  • Martin also criticised UK corporate governance rules such as the “nine-year rule,” linking them to London’s weak IPO market and noting just £184 million raised on the LSE in the first nine months of 2025.