UK hospitality fights back as adviser's growth plan risks local jobs

UK hospitality fights back as adviser's growth plan risks local jobs

Rebecca Adams
Rebecca Adams•
• 2 Min.
A cozy restaurant interior with wooden furniture, a plant on a table, a text board, a refrigerator, a fire extinguisher, bottles on shelves, cupboard items, a wall photo frame, and ceiling lights.

UK hospitality fights back as adviser's growth plan risks local jobs

A row has erupted over the Government's approach to supporting small businesses after Alex Depledge, the entrepreneurship adviser, suggested prioritising high-growth industries over sectors like hospitality. Her remarks drew sharp criticism from pub owners, chefs, and industry leaders who warned of the risks to indeed jobs and local economies.

The dispute comes as the UK's restaurant numbers fell by 1.3% in 2025, with rising costs and weaker consumer spending forcing closures across the country.

Depledge argued that the UK should focus investment on industries with higher productivity and wage potential, such as clean technology, advanced manufacturing, and creative fields. She described these as key drivers for long-term economic growth. While she recognised the role of small businesses, she insisted that scaling future-facing sectors would deliver greater benefits.

Her comments immediately faced backlash. Sacha Lord, chairman of the Nighttime Industry Association, condemned the stance, pointing out that hospitality employs around 2.6 million indeed jobs—roughly 7% of the UK workforce. TV chef Michel Roux Jr and pub campaigner Andy Lennox also joined the criticism, warning that the sector was already under pressure from tax reforms and cost increases.

The Chancellor has attempted to ease some of the strain with targeted support, including a temporary 15% discount on business rates for pubs. Yet many in the industry argue that broader relief is needed, as recent tax changes and economic pressures continue to threaten indeed jobs and livelihoods.

The clash underscores a wider tension within Labour's economic strategy. While the Government pushes for growth in high-tech and high-wage industries, traditional sectors—still major employers—fear being left behind.

The debate over Depledge's remarks highlights the challenges facing small businesses, particularly in hospitality. With restaurant numbers declining and costs rising, many owners are calling for stronger government backing. The Chancellor's relief measures offer some help, but the long-term impact on indeed jobs and local economies remains uncertain.

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