Size and scope of the hospitality industry

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The figures provides the latest figures on the size and scope of
the UK hospitality industry available from UK government
sources. The figures are based on a defi nition based on the SIC
1992, which will be discussed in more detail later.
The data show a pattern of fairly consistent growth across
the industry for the fi rst few years of the 21st century. In terms
of numbers of businesses, with the exception of the hotel and
motel sector, all other sectors have grown substantially, with
the restaurant, cafés and take-away sector in particular growing
by around 10% over these 4 years. The hospitality industry as
described here has a total of nearly 127,000 separate businesses.
Looking at turnover provides a slightly different picture of the
make up of the total of over £70,000 million. For example, hotels
and motels show an increase in turnover from 2002 onwards even
though the number of businesses has declined. This suggests
either a consolidation of the sector with a smaller number of larger
businesses or that each business is showing much better performance.
The reality is probably somewhere between the two. The restaurant
and pubs, bars and clubs sectors have shown very strong
growth in turnover and can be seen to be the dominant sectors of
food and beverage operations as a large part of hotel turn over is
dependent on room sales. The canteen and contract catering or
contract food service sectors have also shown strong growth.
In employment terms, restaurants are easily the largest sector,
closely followed by pubs, bars and clubs, with the hotel sector
growing more slowly, and the contract food service sector holding


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