Ask anyone about Manchester’s food and drink scene and they’ll tell you the same things – diverse, lively, and thriving. It’s not too far to say that Manchester is renowned as a hub for independent businesses either, from the streets of the Northern Quarter to right across its suburbs south of the city.
Despite this reputation, independent businesses have been struggling in the last few months, especially in the food sector. The most recent victim of this is GRUB Manchester.
In late February, it was announced that GRUB Manchester’s month-long takeover at Kampus had been cancelled. Kampus made the decision that they would “not be proceeding with the GRUB partnership.” This was because Kampus had “an intended tenant for the space from April to September.”
In a statement, GRUB MCR estimated that this has caused a loss of around £6,000 in ticketing incomes for its promoters and workshops, as well as a direct loss for GrubMCR of £15,000 from bar income.
GRUB MCR’s residency would have taken place during April, delivering a whole month of art workshops, theatre performances, and, of course, delicious food. It’s clear that this would have been a celebration of the excellence that small food and drink establishments bring to Manchester. But this is not a new problem.
Metro Café, a city centre favourite, closed its doors after 40 years of trading for the final time at the end of January. This was following the landlords’ plans to redevelop the site.
In a Facebook post, owner George Stavrinou wrote “Although we have looked to relocate, we have not been able to find premises that come close to enabling us to offer our customers the same service and pricing.”
Metro Café are not alone. The Font Manchester closed at the start of this year too, citing “the impact of COVID” and “the cost of living crisis” as the reason for its closure.
The story continues with many others: No. 1 Canal Street, Atkinson’s in Mackie Mayor, Ate Days a Week.
All of these businesses talk of the same issues. Ate Days a Week’s owner Andy James in a statement wrote: “Food and drink costs are rising rapidly, utilities are absolutely out of control and the landscape of our economy is so obscured, it’s frightening.”
Across the sector, closures increased by 60% in 2022, compared to 2021. Whilst schemes like Eat Out To Help Out encouraged increased visits to eateries, research from LSE’s Centre for Economic Performance revealed that it only had a temporary impact. The industry is still yet to fully recover, the current Cost of Living crisis throwing a spanner in the works.
Campaigns like Long Live the Local fight the issues local pubs face, its efforts vitalised due to the offset from the pandemic. As part of the campaign, over 130,000 emails have been sent to MPs, making them aware of the tax pressures pubs and breweries are under.
Their current demands are:
- Extend the freeze on beer duty and re-commit to alcohol duty reforms that support British pubs and beer as a lower-strength product
- Lower business rates for pubs so they are equitable to other similar businesses
- Reinstatement of the lower rate of VAT of 5% that was in place in 2020/21 ( formerly 12.5% until April 1st 2022 and currently at 20%) for food and beverages sold in pubs with a view to making this permanent
Whilst the price of chain pubs like Wetherspoons or Greene King might be appealing, they do have a detriment on smaller pubs that cannot afford to reduce the cost of a pint. In 2021, Wetherspoon’s current estate was 871 premises. Plans to expand are evidently materialising, with its newest opening at The O2 Arena in London later this March. Its growth only pushes customers away from the doors of independent businesses.
There are some silver linings. Despite CBRB’s closure, an award-winning ramen joint which was based in the Northern Quarter, its former venue will remain in the hands of another independent business. Kong’s Kitchen, created by one of CBRB’s founding staff members Tom Potts, will open on the Oldham Street site soon.
Even GRUB MCR’s Kampus cancellation has a happy ending. In response to their announcement of its cancellation, a multitude of landlords and developers contacted GrubMCR, resulting in 90% of the scheduled events finding new venues.
But this doesn’t stop the very real problem of more local food and drink businesses being threatened by rising costs.
Whilst we’re all facing the pinch from the Cost of Living Crisis, next time you go out for food or drink, consider one of Manchester’s independent eateries or bars. More often than not, the prices aren’t too much more, and you’ll be supporting local: helping to develop the city we all love.
Follow GrubMCR @grubmcr on Instagram to find out what’s on!
Correction: This article was updated on May 2 to clarify that GRUB MCR remains open, and it was only the April Kampus takeover that was cancelled. The information on the current VAT rate for hospitality was also corrected from 12.5% to 20%.
