Pubs set for extra time as World Cup kicks off spending spree
The hospitality sector in the West Midlands is set to score a welcome windfall thanks to the 2018 FIFA World Cup, according to one of the region’s leading licensing law experts.
Peter Adkins, our director of regulatory services and who is recognised for his expertise in this area in the Legal 500, says that Russia 2018 has the potential to provide a much needed boost to the local licensed trade.
Research from dotdotloans.co.uk suggests that some of the region’s most fervent football fans could splash out as much as £1,000 per person during the month-long tournament, with the region’s pubs, restaurants, cafés and clubs predicted to be the main beneficiary.
The news will come as welcome relief to the licensed sector, as beer sales experienced another fall during the first quarter of the year.
Peter Adkins, said: “Past experience tells us that Russia 2018 offers a good opportunity for the sector, with the month-long tournament giving pubs and restaurants the chance to attract greater footfall and increase trade.
“With England’s group games consisting of two evening and one weekend fixture, many consumers will be attracted by the prospect of watching the action on a big screen at their local pub or club.
“Conditions continue to be challenging for publicans and bar owners as they shoulder the tax burden on alcohol. However there are certainly grounds for optimism for better results in the next quarter, with the early weeks of summer having also brought the royal wedding, the FA cup final and a spell of excellent weather.”
Whilst the hospitality trade will be cheering on England during their opening group game against Tunisia next week (18th June), the good news for the sector is that just 16% of UK consumers indicate that their spending will slow if England make an early exit from Russia 2018.
Stonegate Pub Company – owners of popular Birmingham venues including Walkabout on Broad Street and Gosta Green in Aston – anticipate a £6m sales uplift across its 700-strong estate during the World Cup, with consumers cheering on their multinational heroes from the English Premier League.
Independent venues are also set to cash in. The Grade II listed Old Crown pub in Deritend, is one of several outlets across Birmingham to be showing all games live on a big screen as its beer garden and courtyard is transformed into a fan park.
Whilst the tournament kicks off in Russia this week, Brits are estimated to embark upon a spending spree at home which could net the economy £1.33bn if England reach the World Cup knockout stages.
The figure could even rise to £2.72bn in the unlikely event that Gareth’s Southgate’s squad qualify for the final in Moscow next month, according to figures from VoucherCodes and the Centre for Retail Research.