April Fool’s Day - Does It Have To Be Doomsday?

Published 31.03.2025

As someone who has run restaurants across the UK and beyond, I’ve always believed a good business should be profitable. But with the economic shifts we’re facing as of April first, I think it’s time we reframe that idea.

The National Living Wage is rising to £12.21 an hour. Employer National Insurance contributions are going up to 15%. And business rates relief is being cut from 75% to 40%. For many of you, that could mean an increase of tens of thousands of pounds per year—per site.

To put it into perspective, employing a full-time team member at the new National Living Wage, with these additional costs, could mean an extra £2,500 per person annually. Multiply that across a full team, and it becomes very clear why sustainability has to take priority.

In that context, aiming for break-even, or a modest profit, isn’t a sign of weakness—it’s a smart, responsible move. It means protecting your business so it’s still here in 1 year, 5 years, even 20. And it matters to everyone connected to it: landlords who rely on steady tenants, suppliers who value reliable orders, and teams who deserve stability and growth.

I’m not anti-profit. I’m pro-sustainability. And right now, that means making choices that ensure we all get to keep doing what we love—for the long haul.

That could mean reviewing your pricing and menu mix more often to maintain margin without compromising value. Or investing in tech that reduces admin time so managers can focus on training and retention. It might mean sharing back-office support across sites, creating partnerships to cut delivery fees, or rethinking service models during quieter shifts.

Supporting the increase to the National Living Wage is the right thing to do. But we have to be just as committed to building business models that make it viable—not just this year, but for many years to come.

“A LITTLE STORY”

I once worked for a man who owned a group of more than ten restaurants across the UK. Each month, the senior team from every site would sit around a table—not to talk about what we’d already done, but to focus on how we could grow.

After the financial crash in September 2008, we had one of those meetings. I remember him clearly saying he wouldn’t cut wages, raise prices, or lower the quality of what we served. His message was simple: when times get tough, that’s when you double down and make the business better. You don’t shrink—you build. You make sure it’s strong enough to keep delivering great experiences tomorrow, and for the long run.

And I believe we’re back in one of those moments again. The world feels uncertain, costs are rising, and pressure is everywhere. But that same lesson still rings true: now is the time to grow, to improve, and to make things better than they were yesterday. It’s something worth thinking about.

I’d love to hear how others in the industry are approaching this moment. Are you adjusting your goals? Rethinking your budgets? Let’s talk about it.