Hospitality sector value grows by 4% to £102 billion

The hospitality sector hits £102 billion value in 2018 - growing by 4% year-on-year, a new analysis of ONS data has revealed.

The UK hospitality sector has shown resilience in the face of economic uncertainty with a total annual turnover of £102 billion and 4% year on year growth.

It is the first time that all businesses in the ‘Accommodation and Food Services Activities’ category have turned over in excess of £100bn (up from £98bn in last year’s data), according to the analysis of ONS data published from the past six years.

While some are predicting an employment crisis in the industry post-Brexit, analysis from hospitality recruitment platform, Adia shows that more than 2.35 million people are now employed in the sector, an increase of nearly half a million in five years.

Adia’s UK country manager Terry Payne said: "Although there is much to be encouraged by in these figures, the declining number of businesses operating in the sector makes for uneasy reading. 

"An industry that contributes more than £100 billion annually to the UK economy is significant and its role as a wealth and job creator needs to be protected.

"The significant growth in employment reflects both the demand from consumers and from those who want the working flexibility that the sector is able to offer." 

But as a note of caution, the number of businesses operating in the sector has fallen by around 8% in the last year, from 202,060 to 185,955 businesses now.

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