Restaurants, Cafes and Pubs: Costs and Benchmarks

Carl Trigg  ·  October 2026  ·  6 min read  ·  Free calculator

The ONS counted 105,334 restaurant, cafe, takeaway and mobile food businesses registered for VAT or PAYE in 2024, and 36,087 pubs and bars. Both groups spend roughly half of turnover on food, drink and other bought-in costs, and about a third on staff.

The figures

2024Restaurants, cafes and takeawaysPubs and bars
Businesses (VAT or PAYE registered)105,33436,087
Total turnover£55.6bn£26.8bn
Average turnover per business£528,000£744,000
Staff costs, % of turnover33.7%32.5%
Bought-in goods and services, % of turnover52.2%53.0%
Left after staff and bought-in costs, % of turnover14.1%14.5%

Source: ONS Annual Business Survey, 2024 results (published 26 May 2026). It covers businesses registered for VAT or PAYE, so the smallest sole traders are not included. Averages are pulled up by the largest firms. For sole traders and partnerships, the owners’ own pay is not in staff costs: it comes out of what is left.

How it has changed since 2019

Restaurants, cafes and takeaways: turnover rose 32% between 2019 and 2024, against a 24% rise in consumer prices, so it grew in real terms. The number of businesses rose 18%. Staff costs went from 29.1% to 33.7% of turnover, and what was left after staff and bought-in costs went from 20.0% to 14.1%.

Pubs and bars: turnover rose 15% between 2019 and 2024, against a 24% rise in consumer prices, so it fell behind inflation. The number of businesses fell 4%. Staff costs went from 26.0% to 32.5% of turnover, and what was left after staff and bought-in costs went from 20.9% to 14.5%.

For both restaurants and pubs, staff costs now take a noticeably bigger share of turnover than in 2019, and the share left after costs has shrunk.

What this means for a restaurant, cafe or pub

Compare your business

Choose the closest match, then enter your figures.

Restaurants and cafes: Cost Benchmark

Guides that fit this trade

Sources

Put This Into Practice

Free Excel templates for time studies, debtor days and staff costs. Enter your email once and download them all.

Get the Free Templates →

Want an independent view of your own numbers? See the Diagnostic Assessment.