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Food inflation heads list of top 10 restaurant challenges

22 June 2011 by
Food inflation heads list of top 10 restaurant challenges

The rising cost of food and ingredients is by far the biggest challenge to restaurant businesses.

That's the finding from a survey of restaurant industry leaders by Allegra Strategies, presented at its restaurant leader summit last week.

More than half (57%) of those surveyed listed food prices as their biggest concern this year, with weak consumer confidence taking second spot for the second year running.

The top 10 business challenges were:

1) Rising food/ingredient costs (57%)
2) Weak consumer confidence (21%)
3=) High labour costs (19%)
3=) Access to capital (19%)]
5=) Consumer price sensitivity
5=) Attracting high quality staff
5=) High rents / property costs
8) Lack of suitable A3 properties
9) VAT increase (13%)
10) Raising profitability (11%)

Research for the survey was conducted in May 2011 and took the form of 118 interviews with leading restaurant executives across the UK, with all major cuisine types covered.


Tell us what you think about food inflation on TableTalk >>

](http://www.caterersearch.com/tabletalk/forums/food-inflation-is-back-are-you-concerned-6166.aspx#7590)[Food inflation reaches highest level for two years >>](http://www.caterersearch.com/Articles/2011/06/10/338593/Food-inflation-reaches-highest-level-for-two-years.htm)
[
Inflation is not the only cause of higher school meals prices >>](http://www.caterersearch.com/Articles/2011/06/17/338787/Inflation-is-not-the-only-cause-of-higher-school-meals.htm)

Caterers eye food costs as average basket of food rises 6% >>

By Neil Gerrard

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