Meat prices continue to climb: Meat prices are continuing to climb, analysis by catering butcher Birtwistles has shown. In its latest market report, Birtwistles said poultry prices “continue to tick upwards”, particularly around wings and thighs, with demand still outstripping supply. The report stated: “Contributing to this, we have seen shortages on whole birds, with farmers reluctant to put birds on the ground without guaranteeing the correct return as the continued high cost of production including feed, energy, labour continue to be the biggest challenges faced. It is anticipated whole birds could increase from anywhere between £0.10-£0.50 per kilogramme in the coming month.” The demand for UK beef trims is still high, with prices predicted to increase further during the peak months for demand in July/August, the report said. It added: “We do not expect to see any softening until at least September, which will affect and keep firm all associated products such as mince and burgers.” In the week ending 18 June, the average deadweight prime cattle price was 442.3p per kilogramme, up 1.6p on the previous week. Turkey prices are now at the same level they were in November/December last year, when they are typically at their highest level due to Christmas demand. The report stated: “What is driving this price is a shortage of birds being placed on the ground and farms switching to chicken to satisfy demand across Europe the UK and further afield. In the UK alone, seven sites usually used for turkey farming have closed and switched to chicken.” Pork prices have risen again, up 1.88p to 184.98p per kilogramme in the week ending 18 June. The British deadweight new seasons lamb averaged an “eye-watering” 692.9p per kilogramme in the week ending 11 June, up 8.2p from the week previous, and up on the same week last year by 27.7p. The report said: “We are entering the start of the prime UK season, which will run until 31 December, but doubt we will see sufficient enough easing to make the protein attractive again and reappear on menus.”

 

Sponsored message – Coca-Cola becomes first ‘Platinum’ sponsor for Hospitality Rising campaign: Coca-Cola Europacific Partners (CCEP) has become the first “Platinum” sponsor for the sector’s major recruitment campaign, Hospitality Rising. The soft drinks company has joined forces with leaders behind the movement as it moves towards achieving its £5m fundraising goal. Pat Humphries, on-premise associate director at Coca-Cola Europacific Partners GB, said: “This campaign is vital to bolstering the hospitality industry, changing perceptions and creating a pipeline of people that are passionate about a career in the sector. It’s essential that industry comes together now to overcome the challenges that are currently being faced. We look forward to the launch of the campaign in the coming months.” The campaign has already secured more than £700,000, with support still coming in, after being backed by some of the biggest names in hospitality. Mark McCulloch, founder of Hospitality Rising and campaign director, said: “This campaign is flourishing thanks to all the incredible support being received across the industry, and we will continue to drive home the message that hospitality is a great industry to work in. Our investors back our vision to help stop the recruitment crisis once and for all, and I have no doubt we will be able to reach that goal with the support we have, and will continue to call for, as the campaign moves closer to its fundraising goal.” Invest in Hospitality Rising now from just £10 per employee here. If you have a sponsored story you would like to see featured in this newsletter position, email paul.charity@propelinfo.com.

One day to go before release of updated Premium Database of Multi-Site Companies, 50 business being added: A total of 50 new multi-site companies, operating 323 sites, have been added to the next edition of the Propel Premium Database of Multi-Site Companies, which will be released tomorrow (Friday, 1 July), at midday. The updated Propel Multi-Site Database, which is produced in association with Virgate, includes growing experiential concepts, regional restaurant and pub operators and expanding hotel brands. Premium subscribers will also receive a 4,500-word report on the new additions to the database. The comprehensive database is updated monthly and provides company names, the people in charge, how many sites each firm operates, its trading name and its registered name at Companies House if different. It features more than 2,000 companies. Premium subscribers will also receive the next edition of the New Openings Database, which is produced in association with StarStock, on Friday, 8 July, at midday. It focuses on newly announced openings and upcoming launches in the sector and is updated every month. The next edition also includes a 19,000-word report on the new additions to the database. Premium subscribers also receive access to the Propel Turnover & Profits Blue Book, which is produced in association with Mapal Group. The Blue Book, which is also updated monthly, provides an insight into UK operator turnover and profitability over five years, profit conversion and directors’ earnings. Premium subscribers have also been given exclusive access to the UK Food and Beverage Franchisor Database, which is an exhaustive guide to the companies offering a food and beverage franchise in the UK and will be updated every two months. The second edition featured 120 companies, providing insight on the offer, locations, cost and other key details. The second edition provides almost 47,000 words of content. Companies can now have an unlimited number of people receive access to Propel Premium for a year for £895 plus VAT – whether they are an operator or a supplier. The single subscription rate is £445 plus VAT for operators and £545 plus VAT for suppliers. Email jo.charity@propelinfo.com to upgrade your subscription. Subscribers also receive access to Propel’s library of lockdown videos and Friday Wrap interviews and now also have access to a curated video library of the sector’s finest leaders and entrepreneurs, offering their insights on running outstanding businesses in the sector. Premium subscribers also receive their morning newsletter 11 hours early, at 7pm the evening before our 6am send-out; regular video content and regular exclusive columns from Propel group editor Mark Wingett.

Zonal to speak at Propel Multi-Club Conference and summer party, two free places each for operators: Olivia FitzGerald, chief sales and marketing officer for Zonal, will be among the speakers at the Propel Multi-Club Conference and summer party, which takes place on Wednesday, 31 August, at the DoubleTree by Hilton Oxford Belfry, and is open for bookings. The all-day conference will focus on “prospering in a post-pandemic world” and will be followed in the evening by the summer party with a barbecue, live band and more. FitzGerald talks through the latest research on how the past two years, and squeeze on spending, has impacted the consumer journey. Operators can claim up to two free places each by emailing jo.charity@propelinfo.com. A room can also be booked for the evening for £120.

Greene King calls on the government to work closely with sector to unlock full potential of pubs: Greene King has called on the government to work closely with the sector to unlock the full potential of pubs. Launching a new report titled Untapping Potential: the role of pubs in levelling up skills, jobs and communities, the brewer and pub operator sets out three calls to action – promoting hospitality as a career; positioning businesses at the heart of further education and apprenticeship policy; and committing to cross-government collaboration to allow pubs to serve all. The report urges the government and businesses to continue to work together to enable the sector to provide skilled and fulfilling careers, and feed into the Levelling Up agenda. This includes calls to ensure the government and the National Careers Service do more to promote hospitality as a skilled profession and empower businesses through reform of the Apprenticeship Levy. This includes ensuring consistency in apprenticeship programmes and enabling businesses to use any unspent levy funds more flexibly, as well as remove barriers to employers recruiting prison leavers by introducing more standardised recruitment processes. At the same time, Greene King announced a series of commitments to create even more career opportunities, including adding 5,000 new apprentices across the 32 different types currently available by 2025, building on the 15,000 individuals that have already completed the programme since 2011. It will also be recruiting 300 more prison leavers by 2025, in partnership with the Ministry of Justice, and opening the first Greene King prison training kitchen at HMP Thameside. Furthermore, it will be launching a Chef Academy Programme this year, working with TV chef and presenter Joe Hurd to help train the next generation of leading chefs, and providing 100 new internships to those with special educational needs.

Martin – government’s price cut plan a ‘classic example of tinkering’: Tim Martin, the chairman of JD Wetherspoon, has said a new government campaign asking businesses to cut prices to help with living costs is a “classic example of tinkering, instigated by ministers who really don’t understand money”. Martin is one of many business leaders to have criticised the plan for a taxpayer-funded ad campaign, which involves firms slashing product prices from July. David Buttress, the government’s new cost-of-living tsar and founder of Just Eat, has proposed the ad campaign. But a government source told the BBC that businesses will not be handed any subsidies or funding in order to cut prices. Martin said: “The main economic critique of this government is that it doesn’t have an overarching plan but just reacts to events, like a doctor who only treats symptoms, not the cause.” He said eliminating tariffs on non-EU imports would “immediately reduce shop prices and inflation”. Kate Nicholls, chief executive of UKHospitality, said bars, hotels and restaurants were “already highly price competitive”, while also facing “colossal input costs that make price reductions extremely difficult”. She said: “Energy costs are up 74%, goods 55% and labour up 54%. While government efforts to help consumers are always welcome, the reality is just one in three hospitality businesses are now profitable.” The Federation of Small Businesses (FSB) said asking struggling companies to “soak up additional costs just isn’t realistic”. Martin McTague, national chair of the FSB, said most small firms were “well beyond the point of being able to absorb extra costs without passing them on, which is often a last resort”. He said: “It’s a slap in the face for the government to spend the extra tax it is raising from businesses on state-run marketing campaigns – doubtless focused on big businesses, with corporate offers that can now be rebranded as helping the cost-of-living crisis, and so boost their sales. Asking this group to soak up additional costs just isn't realistic, especially when so many are worried about basic survival and have already cut all expenses, even necessary ones, to the bone.” McTague argued there’s “much more the government could do to help”, such as reducing VAT rates to lift more small firms out of business rates, “rather than just a marketing campaign using taxpayer resources to put government branding in shop windows”.

Lord calls on operators to commit to living wage: Sacha Lord, the Night Time Economy Advisor for Greater Manchester, will meet trade union Unite today (29 June) to discuss the hospitality sector’s staffing drought, as he calls on operators to commit to paying a living wage. Lord has also called on operators to ensure they are offering employees fair working hours and pay, to aid retention in the sector. He said: “I’ve spoken at length to operators in Greater Manchester, and we continue to urge venues to ensure the right processes and pay rates are in place to attract and retain workers. It's a difficult time at the moment, but it’s a cyclical process – if you have motivated, happy staff, the service is better, and the customer experience is better. We can’t be naive to the fact that if staff aren’t treated fairly, and this includes paying living wage, they will walk. They’ll move to sectors which are paying fairly, committing to hours and give them a good work-life balance. The hospitality sector does need support, and we will continue to lobby hard for that, but we can’t rely on that alone. We must also work internally to aid staff retention, boost morale and attract new staff into our sector.” He added: “The opportunities in the hospitality sector are huge at the moment. I know many people who say working behind the bar was the best job they’ve ever had, and there are huge opportunities right now, especially for part time student roles. These jobs won’t just give them valuable experience when they choose to move into full time employment, but also the social experiences which we all know have been massively missed in the past two years.” A call to introduce a dedicated hospitality visa to attract overseas workers back into the UK and plug staff shortages has been tabled by the Night Time Industries Association, UKHospitality and Lord, but has not yet been backed.

Just a fifth of young adults associate the hospitality industry with apprenticeships: Just a fifth (19%) of young adults associate the hospitality industry with apprenticeships, according to a new survey by Greene King. The new research, undertaken by Opinium on behalf of Greene King, surveyed 2,000 UK adults aged 16-25 between 19 April-5 May 2022 and found trades like electricians (37%), engineering (36%), construction (33%) and plumbing (33%) are the sectors most associated with apprenticeships, while just a fifth (19%) associate the hospitality industry with apprenticeships. More than a third of Generation Z respondents (35%) said they had heard hospitality apprenticeships were available but don’t know anything about them. The poll also found that 64% agreed that working in the hospitality sector helps you stay close to your local community, while 62% agreed it helps you make a positive impact in your local community. The survey found that 58% saw jobs in the sector as short term, with nearly half (48%) saying the sector does not offer good career development opportunities. However, 59% still see jobs in the sector as a good first step on the career ladder, and 66% believe jobs in the sector give you important work and life skills. A fifth of young people say hospitality is viewed negatively as a career in society, compared to 50% saying it is viewed positively. This puts it behind engineering, IT, teaching, electrician and marketing. However, it comes ahead of construction/plumbing, farming, and retail.

UKHospitality backs government consultation on England’s short-term letting market: UKHospitality has backed the government’s call for evidence on the short-term letting market in England – an issue it has raised with ministers and governments across the nation for several years. The trade body has long been pushing for a government review and has informed the call for evidence via round tables and discussions with officials. UKHospitality chief executive Kate Nicholls said: “The accommodation market has changed rapidly and significantly with the growth of the digital economy, so it’s absolutely proper the government is consulting in this area. There is not a level playing field across accommodation providers at present, prompting worrying concerns relating to negative impacts on local communities and the well-being of guests. We’re also optimistic the results of the government’s call for evidence will help to expedite safety and accountability for short-term letting properties. In addition, without registration as a minimum, almost all short-term letting properties will be operating as single site businesses, benefiting unfairly from a reduced tax burden while the wider hospitality sector, still struggling to recover from the pandemic, continues to be over-burdened by taxes. Action on short-term lets can help to revive communities across the UK, feeding into levelling up objectives. Many hospitality businesses continue to report challenges in finding accommodation for workers, particularly in rural areas. Government action in this area can help to rebalance short and long-term rentals in our fragile communities, while at the same time, help build a more sustainable tourism industry.” The call for evidence closes on Wednesday, 21 September.

 

Stonegate accuses insurers of ‘obliterating cover’ in last day of £1.1bn covid business interruption insurance case: Stonegate has accused its insurers of adopting an approach that “effectively obliterates cover” in the final day of a £1.1bn ($1.35bn) business interruption insurance trial that saw both parties set out closing arguments. Stonegate is suing MS Amlin, Zurich and Liberty Mutual over covid-19 losses, claiming it is entitled to a pay-out for its 760 premises, while insurers maintain the policy only covers Stonegate as a singular corporate entity. Stonegate had previously set out how it regards all cases of covid-19 as an “equal, concurrent, proximate cause of loss”, and in his closing statement, the company’s counsel Ben Lynch QC, of Fountain Court Chambers, compared the pandemic to a spreading fire. “It’s an explosion outwards,” he said. “You have super-spreader events – work, school public transport – all of which results in exponential growth.” The insurers maintain the original occurrence of covid-19 in China cannot be conflated with a covered event resulting in an insurance loss, an approach that Lynch said, “effectively obliterates cover”. Gavin Kealey QC, of 7KBW, representing the insurers, told the court there was “no support for Stonegate’s position in the policy”. “The subsidiaries were not insured, ever,” he told the court, claiming Stonegate was acting like the owner of a £1m house who had chosen to insure it for only £1,000. Also at issue is the treatment of furlough payments, which Stonegate maintains should not be used to limit the indemnity of insurers. “The purpose of furlough payments was not to reduce the loss but to protect jobs,” Lynch told the court. It is not yet clear when a ruling will be given in the case. There remain two other business interruption cases progressing through the courts, and at their conclusion, Mr Justice Butcher will consider his verdict.

Côte further strengthens its leadership team: Côte, the French brasserie chain backed by the Partners Group, has further strengthened its management team with the appointment of a new chief marketing officer and chief information officer, Propel has learned. The Jane Holbrook-led restaurant brand has appointed David Murdin, formerly of BA, Whitbread and Costa, as its new chief marketing officer. He most recently held an interim role as chief marketing officer at Wagamama. Jo Fawcett, the former Azzurri Group marketing director who has been working with Cote over the past ten months, will stay to support the business on a part-time basis. Richard Tallboy, the current chief information officer at The Restaurant Group (TRG), will also join Côte later this summer in the same role. Tallboy spent 15 years working at TRG and Wagamama, where he revolutionised the digital experience for the teams and guests. At the same time, Adelle Taylor returns to the business as operations managing director after a year off. Taylor started as a general manager in 2010 and has worked in several roles across the business including area manager, operations director and director of change. Keith Lloyd, who joined last summer as managing director, has stepped down from the business. Holbrook said: “Over the last few months, we have been making great progress on our Evolution Process with new menus, crockery and uniforms. Our estate-wide refurb programme has now started with some great early results, and Côte continues to have brilliant food, service and people. I’m delighted that we are able to keep investing in top talent, and we are all really excited about the arrival of David, Richard and Adelle.” In March, Cote marked the start of its brand evolution with a reinvigorated menu. The changes, which will see the gradual roll-out of a new restaurant design across the 80-strong business, began with a menu created by Steve Allen, previously head chef at Gordon Ramsay at Claridge’s. The new menu launch went live alongside a longer-term refurbishment of the entire Côte estate, which followed on from two new openings in the last year in Solihull and Henley-on-Thames.

Loungers to open 200th site next month in Chester: Café bar brand Loungers, which was founded in 2002 by Alex Reilley, Jake Bishop and Dave Reid, will open its 200th site next month, in Chester. The listed company, which today (29 June) opened its 199th site, and 168th Lounge, the Liberto Lounge in Egham, Surrey, will open a Cosy Club in Chester on 11 July. The company has a further Lounge opening lined up in Fleet next month (13 July), and has also submitted plans for sites in Southport, Plymouth and Llandudno. Loungers is also opening a Cosy Club in Milton Keynes and is believed to be lining up sites for the brand in Canterbury and Harrogate. At the end of last year, Alex Chatterton, sector analyst at Panmure Gordon, argued that there is scope for Loungers to eventually operate 600 Lounge sites and 100 Cosy Clubs across the UK.

Vita Mojo secures $30m funding boost: Restaurant software development company Vita Mojo has secured a $30m funding boost. The business, which was founded six years ago, has raised the new capital in a round led by Battery Ventures, reports Sky News. Vita Mojo enables digital ordering in restaurants and more efficient kitchen and delivery operations through its software. Its customers include Gail’s Bakery, Nando’s and healthy fast food chain Leon. The new funds will be used to expand into new markets and refine its product base, according to Vita Mojo, which was originally launched as a healthy restaurant chain itself before switching to become a software provider. “The headwinds and opportunities facing restaurants today are enormous,” said Nick Popovici, Vita Mojo co-founder and chief executive. “Operators are adapting to changing customer preferences around dining and ordering as well as monumental market disruptions – first the pandemic, then supply-chain disruptions and a labour shortage.” Vita Mojo’s products allow customers to personalise their in-restaurant and in-app orders by calorie counts, while it is also able to extract allergen information from restaurants’ own software. Its previous fundraising, in 2018, was backed by Investec. Battery Ventures is a prominent global investor, having invested in more than 400 companies, including GetYourGuide and Glassdoor. Morad Elhafed, a general partner at Battery, and Zak Ewen, a principal at the firm, are joining Vita Mojo’s board. “Offering one platform that combines digital ordering with kitchen operations is a valuable proposition that solves the headaches of managing multiple point solutions and systems,” said Elhafed. “Our experience with restaurant tech in the US makes us excited about Vita Mojo’s opportunity in Europe.”

US coffee chain Blank Street Coffee to make UK debut next month with double opening: Blank Street Coffee, the fast-growing, New York chain that is looking to quickly build a presence in London, will make its debut in the capital next month with openings in Fitzrovia and Shoreditch. The business, which earlier this year said it plans to make London its “second-biggest city”, will open on the former EAT/Cubitts site on the corner of Goodge Street and Charlotte Street, and 3 Redchurch Street, Shoreditch, on 5 July. The company said it has “two-dozen shops slated to open this year” and Propel understands it is already in talks on seven further sites in the capital. The small-format specialty coffee brand will offer a selection of takeaway sweet and savoury pastries, with prices starting at £3 or under for a small coffee – from an americano to an oat flat white. Blank Street Coffee was started in Williamsburg in summer 2020 by Vinay Menda and Issam Freiha and has already grown to 40 locations across Brooklyn and Manhattan. “Having grown up in London, this is an extra special moment for me,” said co-founder Freiha. “We’re thrilled to be joining London’s coffee culture and committed to providing an incredibly reliable experience to our neighbours – expect consistent quality, speed, great prices and baristas you will absolutely adore.” Last month, Propel revealed Blank Street Coffee had hired Ignacio Llado, formerly of the Singapore-based Flash Coffee, as managing director to oversee its UK expansion. Simon Carson, of Harper Dennis Hobbs, represents Blank Street Coffee.

 

Heavitree trading in line with pre-covid levels, pays down £1.75m of debt: South west tenanted pub operator Heavitree Brewery has said it is trading in line with pre-covid levels. The business, which operates circa 65 pubs in Exeter and south Devon, reported turnover of £3.3m for the six months ending 30 April 2022, compared with £846,000 the previous year when pubs were closed for the majority of the period. The business reported a pre-tax profit of £1.1m compared with a loss of £76,000 the year before. The company did not recommend a dividend was paid. During the period, Heavitree sold The Marshalls Hotel in Barnstaple; The Victoria Inn and an adjoining cottage in Ashburton; The Maltsters Arms, the converted skittle alley and the adjoining development site in Clyst St Mary; and two cottages on the site adjoining the Exeter Inn in Honiton Clyst, which realised a book profit of £601,000. The company stated: “In line with the board’s strategy of reducing debt and following these sales, three prepayments against the term loan held with Barclays have been made during the period under review, totalling £1.75m.” Chairman Nicholas Tucker added: “Although there remains much to be cautious about in the months ahead, at this half-year under review, we have returned to a performance level on a par with 2019. While pleased with the rebound in trade across our houses in the preliminary months of the year and the boost in sales enjoyed by many pubs during the long Jubilee weekend, I am acutely aware of the two-fold strain to the trade caused by the cost-of-living hikes to our customers, and the cost of doing business hikes faced by our operators. The directors are, of course, concerned as to how these pressures might manifest themselves across the estate, particularly come this autumn and winter. We shall continue to monitor the situation as it develops.”

 

Black Sheep Coffee lines up debut site in Wales: London speciality coffee shop operator Black Sheep Coffee has lined up its first opening in Wales. The fast-growing brand, which recently announced plans to open in Warrington, Liverpool and Colchester, has secured a unit in Southgate House on Wood Street, Cardiff. At the same time, the business, which operates circa 50 sites across the UK, with the majority in London, plans to open in Reading this summer. The business is set to open on 26 July on the former Caffè Nero site in Queen Victoria Street. Earlier this spring, the company told Propel it currently had 51 shops in its UK pipeline that were agreed during the pandemic on “attractive pandemic-adjusted rent terms”. It plans to open all of them in the next 12 months and expects franchisees to take up at least 25 of those openings. It also plans to make its debut in the US before the end of the year and has selected Texas as its entry point.

Carlsberg fined £3m for fatal ammonia leak at Northampton brewery: Carlsberg has been fined £3m after a contractor died and another was seriously injured following an ammonia gas leak at one of its breweries, in Northampton. David Chandler, 45, was killed and David Beak, now 57, was seriously injured on 9 November 2016 following a large, uncontrolled release of ammonia while a compressor was being removed from a refrigeration system. An investigation by the Health and Safety Executive (HSE) found the company had failed to put in place appropriate isolation controls to prevent exposure to ammonia before work started, Birmingham Crown Court heard. It was several days before the leak was contained and gas levels dropped to a safe level, according to the HSE, while 20 people needed medical attention after showing symptoms of ammonia exposure. Carlsberg Supply Company UK, which was summonsed under its new company name of Carlsberg Marston’s Brewing Company, pleaded guilty to charges under Section 2(1) and Section 3(1) of the Health and Safety at Work Act 1974, and Regulation 3(1) of the Management of Health and Safety at Work Regulations 1999. The company was fined £3m with costs of £90,000. The principal contractor for the project, Crowley Carbon UK, was also charged, but the company was placed into administration before court proceedings began.

German Doner Kebab makes senior appointments to aid North American expansion: German Doner Kebab (GDK), which is owned by Hero brands, has made two appointments to its North American management team, as part of an “aggressive expansion” plan for the region. The company has hired Robert Bray as operations director and Mark Treptow as director of franchise development, to go alongside the recent appointments of Georgina Cavendish as chief financial officer and Darren Cooke as marketing director. Reporting to Nigel Belton, GDK North America’s managing director, Bray has more than 20 years of operations experience with YUM! Brands and was most recently senior regional franchise director at Church’s Chicken. Treptow has franchised multiple emerging restaurant concepts such as Five Guys Burgers, Freshii and The Halal Guys into large national and international brands. Belton said: “We’ve assembled a team of stellar executives with a wealth of food and beverage experience, and we’re excited to utilise their expertise to aid in our continued growth.” GDK opened its first US site in New Jersey’s American Dream Mall in 2021, adding to its three Canadian locations. It plans to open a further 10 sites in the US this year, including its first two in the Houston area. Clyde Foods has signed on as a multi-unit developer in Houston, an agreement that includes 15 restaurants over the next ten years and five locations open by 2025. In the Dallas area, a franchisee has signed a multi-unit deal to develop five restaurants in Dallas and its northern suburbs. GDK’s New York franchisee has signed a development agreement for 25 restaurants over 15 years, with six locations open by the end of 2022. These strategic sites include Midtown Manhattan, Brooklyn, and Astoria in Queens. In Canada, the search is on for additional sites in Mississauga, Ontario and Surrey, British Columbia.

 

Freedom Brewery closes crowdfunding campaign after raising almost £600,000: Staffordshire-based Freedom Brewery has closed its fundraise on crowdfunding platform Crowdcube after raising almost £600,000. The craft lager company, which is chaired by James Coyle, the former managing director of Scottish brewer and retailer Innis & Gunn, had been aiming to raise £500,000 to expand its brewing, production and marketing capabilities. It hit that target just hours after the public launch, with investors offered 2.24% equity, giving a pre-money valuation of £21.8m. The campaign has now closed, with £599,459 raised from 502 investors. Over the last five years, Freedom’s current private equity investors, including Oakfield Capital, have invested in the production infrastructure to grow the business to a projected £6m turnover this year, and £10m by 2025. Freedom’s vision is now to become one the UK’s largest independent craft lager brewers. Freedom Brewery executive chairman, James Coyle, said: “We are delighted to welcome nearly 500 new shareholders to Freedom. We were hoping our fans and followers would become investors, so we are therefore grateful for this huge vote of confidence in our business, and we will work tirelessly to deliver the objective of establishing Freedom as one of the largest craft lagers in the UK.”

Tortilla signs with Uber Eats: Tortilla, the fast-casual Mexican restaurant group, has become the latest sector business to sign up with Uber Eats. By 12 July 2022, Tortilla will be available to order via Uber Eats from the Richard Morris-led group’s 47 sites across the UK. Matthew Price, general manager at Uber Eats UK, said: “Tortilla is an award-winning Mexican restaurant group that is hugely popular up and down the UK, and we are really excited that customers will now be able to enjoy the amazing fresh food they offer. So, whether you are looking for a lunchtime burrito or to share tacos with friends, you can now at the touch of an Uber Eats button.” Andy Naylor, chief financial and commercial officer at Tortilla, added: “We’re really excited to be partnering with Uber Eats to bring our fresh, customisable California-inspired Mexican menu to even more customers across the UK. Delivery is an exciting pillar of Tortilla’s long-term growth strategy as it enables us to introduce the Tortilla brand to new parts of the UK quickly and efficiently, and we’re delighted to be working with Uber Eats to support this.” Earlier this week, Honest Burgers, the Active Partners-backed business, signed an exclusive delivery deal with Uber Eats. The new partnership sees 43 of Honest Burgers sites making delivery available via the Uber Eats app.

Deliveroo reaches eight million customers as it boosts advertising: Deliveroo has launched a new advertising platform, Deliveroo Media and e-commerce, which the company said will allow brands to reach eight million-plus customers. From July, brands will be able to advertise to Deliveroo customers with relevant offers across its app, on Deliveroo’s website and as part of social media, email and push notification campaigns. For the first time, advertising is planned for Deliveroo’s order tracker page, with new formats to launch over the coming months, alongside sponsored search listings. Currently Deliveroo partners are able to make use of Deliveroo’s advertising services, with sponsored positioning for restaurant or grocery partners, but the new advertising platform means consumer brands will be able to advertise. Deliveroo’s network of delivery-only Editions kitchens and rapid grocery delivery “Hop” stores are also part of Deliveroo’s new advertising proposition. Deliveroo Media and e-commerce will launch in the UK before rolling out to other markets globally. Eric French, chief operating officer at Deliveroo, said: “Advertising revenue is a small part of Deliveroo’s current model but a big opportunity and a lever the company can pull to increase net revenue. Deliveroo has more than eight million monthly active consumers, many of whom are ordering with us on a weekly basis, so we have an engaged and valuable audience for brands to connect with.” Deliveroo aims to reach an adjusted Ebitda margin (as a percentage of gross transaction value) of 4%-plus by 2026, with further upside potential beyond 2026.

 

Venue Group to open two new south London venues next month: The Venue Group (TVG) Hospitality, which is headed by Ben Lovett of folk-rock band Mumford & Sons, will open two new south London venues next month. The team behind Flat Iron Square and Goods Way in the capital will launch seafood and cocktail bar Carrubo and rustic restaurant In Horto, next door to each other at 53b Southwark Street, on Thursday, 7 July. Carrubo, inspired by bayside Mediterranean bars, will offer seafood-focused small plates like white crab avocado and ricotta with confit tomatoes alongside tap wines, draught beers and cocktails, both alcoholic and non-alcoholic. The home-cooking-inspired menu at In Horto, meanwhile, will feature dishes such as roast chicken with garlic potatoes and leeks, and slow-cooked lamb shoulder with harissa vegetables, alongside a wine list from Liberty Wines. Last month, TVG opened Audrey’s, an all-day cafe bar focused on organic and sustainably sourced produce, in Union Square, south London.

Hoxton Bakehouse opens site in Guildford: Hoxton Bakehouse, the south coast-based concept led by Florence Hellier and Darren Bland, has opened a site in Guildford. The company has opened the 20-seat outlet in Market Street, its ninth site in total. Hoxton Bakehouse is currently embarking on a crowdfunding campaign as it looks to open further sites. The group is aiming to raise a minimum of £500,000 and is offering 7.87% in return for the investment, giving a pre-money valuation of £5.9m. So far, almost £415,000 has been raised from circa 250 investors. Hoxton Bakehouse has identified sites in Southampton and Southsea as well as potential sites in the Bournemouth region and the southern part of Surrey. In addition, the funds will be used to expand production, its marketing and sales teams, and also its IT infrastructure to expand its online offering.

Leon confirms Harrogate drive-thru will open this week: Natural fast food brand Leon has confirmed its new drive-thru restaurant in Harrogate will open on Friday (1 July). The EG Group-owned brand opened its first drive-thru in November 2021, in Leeds, and Propel revealed the following month that it had two further drive-thru sites lined up, the other being in Knowsley. The Harrogate restaurant, located at 112 Wetherby Road, will create 20 jobs and feature the digital kiosks which the brand has rolled out in many of its restaurants. Glenn Edwards, managing director at Leon, said: “Since opening our first drive-thru restaurant last year, we have been eager to grow this style of restaurant in order to bring Leon to more guests and allow them to experience Leon while on the go – something that aligns with our mission to bring naturally fast food that tastes good, does you good and is kind to the planet. Our opening in Harrogate is a massive achievement across all fronts.” Having recently opened new stores in Tongham, Surrey; Bluewater, Kent; and Kings Road, London, Leon aims to grow to 100 locations by the end of 2022.

Ukrainian chef opening London restaurant, seeks to employ refugees from war-torn country: Ukrainian chef Yurii Kovryzhenko is opening a London restaurant which will look to employ refugees from his war-torn country. Kovryzhenko has recently been working with top chefs like Tom Sellers and Jason Atherton to raise funds through dinners for humanitarian aid following the Russian invasion of Ukraine. He is now getting ready to launch his own restaurant, together with his partner Olga Tsybytovska, in Chelsea’s Brompton Road this summer, according to his Instagram account. The chef revealed his new restaurant will be called Mriya (meaning “dream” in Ukrainian), which he’s describing as a Ukrainian neo-bistro. Kovryzhenko also revealed he’s looking to staff the restaurant with refugees who have been forced to leave Ukraine.

Papa John’s franchisee opens eighth site: Papa John’s multi-unit franchisee Sukhy Bains has opened his eighth site with wife, Kam. His latest store is in a former TUI travel agent unit at 17 Market Place, Long Eaton, creating 20 jobs. “Our very first Papa John’s store was Nottingham Beeston, which we opened back in 2010,” he said. “We have gone on to open six more Papa John’s over the years, but we were always keen to split the Nottingham area to provide an even better service our customers over a wider area. We live near Nottingham, and so it is particularly exciting to be able to serve our local community their favourite pizza from the new Long Eaton store.”

Members’ club Christabel’s to swap Fitzrovia for Soho: Members’ club Christabel’s is set to leave London’s Fitzrovia and head to Soho. Christabel’s will launch its new venue at 17 Great Windmill Street on Thursday, 7 July. Housed beneath the site of the historic Windmill Theatre, Christabel’s will offer evenings of entertainment alongside a cocktail menu from mixologist Andy Mil, and fine dining from Michelin-star chef Andy McLeish. Dishes will include lobster, caviar, steak and truffle. The club will feature a smoking lounge that will have a secret passage into the Windmill Theatre. Non-members will be able to obtain entry through VIP table bookings, subject to minimum spend and bottle service. Christabel’s current home is in Percy Street, where it has been since May last year.

Chinatown restaurant set to close: Chinatown restaurant Joy King Lau is set close after more than three decades in London. The restaurant, located at 3 Leicester Street, announced on Instagram that it will serve its last meals on Sunday (July 3). Having opened in 1990, Joy King Lau became known for its traditional Chinese wedding banquet meals and daily dim sum offerings. “It is with a heavy heart we announce that we will be closing from 4 July and there will be a change of management,” the restaurant posted. “The current team will all be leaving after nearly 30 years of service, and we want to say a huge thank you to all of you who have supported us, especially the last two years in the pandemic. We are truly grateful for you all.”

All-day kitchen and evening dining and grocery store concept opens at Elephant Park: Rarebit, the all-day kitchen and evening dining, bar, and grocery store, has opened its first bricks-and-mortar location, at the Elephant Park development in south London. The concept, which has opened in Sayer Stree, has a menu focusing on British favourites including the Welsh “rarebit”, and its grocery stocks a range of independent wine, craft beer, and coffee alongside cheese, charcuterie and produce. Mark Angell and Will Nias, co-founders of Rarebit, said: “Rarebit is about bringing a modern, fresh concept to people who want top quality food and drink. Elephant Park is such a buzzing area, and we are proud to introduce Rarebit to this diverse and vibrant environment.” Nash Bond, CF Commercial, and Shelley Sandzer represent Lendlease, which is behind the Elephant Park scheme.