Wetherspoon Chairman Warns of Price Increases

Tim Martin, chairman of JD Wetherspoon, has warned that pub prices are likely to rise due to significant cost increases following Chancellor Rachel Reeves' recent budget. The budget introduced a 67% hike in employers' national insurance contributions and a 6.7% increase in the national minimum wage, which collectively are expected to raise Wetherspoon's tax and business costs by about £60 million annually. Martin indicated that all hospitality businesses plan to increase prices in response to these new financial pressures. Despite these challenges, Wetherspoon reported a 6% sales growth in the quarter ending November 3, marking record performance for the company. Martin expressed confidence in achieving a reasonable outcome for the year, even amidst the rising costs. Other hospitality firms have shared similar concerns, indicating potential job cuts and reduced investments due to the heightened tax burden.