Fuller’s raises prices to cover £8m increase in labour costs

The executive chairman of pub group Fuller’s has criticised the government for a "lack of a clear plan to deliver growth" in the upcoming Budget.

Simon Emeny said the business had been forced to raise some prices after its labour costs jumped by £8m over the past year due to increases in the national living wage and employers’ National Insurance Contributions, which came into force in April.

Speaking as Fuller’s announced its half-year trading update, Emeny added: “I hope the Chancellor has heeded the arguments and proposals articulated by the hospitality sector to avoid further punitive financial measures but, more so, I am frustrated by the lack of a clear plan to deliver the growth the Chancellor claims to be seeking.”

Despite the rise in its labour costs, the group, which runs nearly 400 pubs across the UK, announced a rise in revenue of almost 7%, to £207.5m in the 26 weeks to 27 September 2025.

Pre-tax profits rose nearly 28% to £22.5m, compared to £17.6m in the same period last year.

Company earnings before interest, tax, depreciation, amortisation (EBITDA) also rose from £37.6m to £42.4m.

Like-for-like sales in Fuller’s managed pubs and hotels jumped 4.6%, which the group said was outperforming the market.

Emeny said he the group had “performed exceptionally well” despite challenges over the last six months.

“This has been achieved through a combination of factors – a clear long-term strategy, our well-invested, predominately freehold, property portfolio, a premium and resilient customer base, and a team of amazing people throughout the organisation who strive every day to support, promote and deliver brilliant food, drink, accommodation and an outstanding customer experience,” he added.

Fuller’s said its Christmas bookings were up 16% ahead of the comparable period last year.