Sky-high energy prices are now the main reason for hospitality closures, according to Manchester’s night time tsar Sacha Lord.
The Warehouse Project founder and night time economy adviser has recently taken to Twitter to call on the government to do more to support businesses – stating that the energy companies are ‘cashing in on hospitality’s demise’.
Adding that the big energy companies ‘are bankrupting businesses and forcing people into unemployment’, he pointed to numerous business closures in Greater Manchester before adding that energy regulator Ofgem has ‘a lot to answer for’.
It has undoubtedly been a hard few years for the city’s hospitality operators, with large numbers closing their doors for good in 2022 and more following suit this year already.
Between rocketing energy bills and food costs, record inflation and the largest squeeze on living standards in 40 years, many operators have found themselves caught between a rock and a hard place.
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Recent notable hospitality closures have included vegan junk food pioneers Zad’s and V Rev, Vertigo, Chorlton neighbourhood favourite The Creameries, city centre institution Cafe Metro, decades-old pizza restaurant Croma and cheap cocktail favourite Font, but sadly the list goes on and on.
Energy is now the main reason for Hospitality closures.
The Government need to step in and make the energy giants release operators from untenable contracts, because it’s clear @ofgem won’t.
Yet, whilst Manchester’s bars and restaurants are closing at pace, energy companies are announcing record profits with Shell reporting record earnings of £32.2bn in 2022 – double the previous year’s total and the highest in the company’s 115 year history.
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This has led for many to call for the increase in the energy price cap due in April to be scrapped, with opposition parties claiming that the government is letting firms ‘off the hook’.
Meanwhile, many local restaurants are directly citing the energy crisis as their reason for closing their doors.
Announcing its closure last year, popular vegan eatery Vertigo shared on social media that it had been forced to permanently shut all three of its sites: laying the blame at the door of ‘significantly increased costs’ that have made it difficult for the business to continue to operate.
Specifically referring to an increase in utility bills, the team said it was with ‘a heavy heart’ they had to announce that ‘Vertigo is no more’.
Elsewhere, last summer The Lowry theatre warned of a ‘major challenge’ over fears energy costs could triple to £1m this winter, stating that: “The government needs to extend the energy cap to business as well as households.”
Meanwhile, The Old Siege House Bar and Brasserie in Colchester revealed that it “had no choice but to sign a new contract in October in order to access government help”, adding that its bills went up “from 2p a unit on gas to 12p and 12p electric to 44p ! Now tied in for 4 years! Not sure how long we can sustain these prices!”
According to analysis by Shakespeare Martineau, the food and drink industry accounted for 6% of administrations in 2022 – the sixth-highest sector in the UK.
A total of 1,340 businesses – 87 of which came from the food and drink industry, which included several breweries and restaurant chains – filed for administration last year, marking a 56% increase compared to 2021.
Recession fears and the financial pressure on households and businesses mean the worst is still yet to come, an insolvency and restructuring expert has warned.
Andy Taylor, partner and head of restructuring at Shakespeare Martineau, said: “The latest statistics show that the true costs of living and doing business are beginning to bite.
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“Numerous headwinds – such as the cost of borrowing, and increasing energy, fuel and raw material costs – have become a new normal at this point and businesses are being pulled from every direction. Furthermore, while supportive in the main, pressure from lenders is increasing and HMRC is taking a firmer stance, seeking to cap levels of liability for non-payment of tax.
Adding that the UK is ‘perilously close to recessional phase,’ he continued: “If things continue as they are, we expect to see an increase in businesses failures as they battle tough trading conditions.”
Feature image –The Manc Group
Eats
Inside Portfolio, the UK’s first ‘champagne boutique’ and bar in Manchester
Daisy Jackson
A brand-new ‘champagne boutique’ is opening in Manchester this week, boasting more than 250 different champagnes to our city.
Portfolio will be a new bar and ‘immersive wine experience’, which will have one of the largest and most diverse champagne collections in the UK.
Mancs will be able to order champagne by the glass from just £12.50, along with plenty of accessible bottles.
To kick things off, Portfolio will open with a bar food offering that includes Welsh charcuterie, British cheeses and accoutrements, created by co-founder Julian Pizer, formerly of Another Hand and the Edinburgh Castle.
But later down the line, there’ll be a fun, relaxed tasting menu, ranging from a few bites to a full dining experience, obviously paired with the best champagne list in the country.
Inside Portfolio, you’ll be greeted by a striking champagne wall of 100 different bottles, plus a wall of photos from the team’s trips to Champagne in France.
Every drink will be served in exclusive Lehmann glassware imported from Reims, with more than 10 different glass styles and a strict no flutes policy.
There’ll be an open chef’s pass and sommelier station with bar seating, plus a working champagne cellar that will function as a private dining room and event space.
Portfolio champagne boutique opens in Manchester. Credit: The Manc Group
Julian Pizer has created Portfolio with Cameron Foster, founder of Duex Six which specialises in providing exclusive grower champagnes to the UK.
They’ll be joined by Wayne Baxendale as food and beverage director, who has more than 30 years of global wine experience including from Michelin starred restaurants, and Nikolai Kuklenko as general manager, who previously held a role as Head Sommelier at Mana.
Portfolio will be a wine boutique packed with rare grower bottles and vintage prestige cuvées and hopes to ‘strip away the snobbery and make champagne accessible’.
As well as well known names, guests will be able to enjoy rare and highly sought-after cuvées, including Jacques Selosse, Ulysse Collin, Jérôme Prévost, Cédric Bouchard, Larmandier Bernier and Egly Ouriet.
There will also be vintage prestige cuvées from Cristal, Philipponnat, Pommery, Jacquesson, Pierre Peters and Bollinger, some dating back to the 1990s.
As Cameron Foster explains: “We want to strip back the snobbery of Champagne and make it a wine for everyone, whether that’s a quick glass after work, a special celebration, or discovering grower champagne for the first time.”
Portfolio will open on 9 December at 67 Bridge Street, Manchester, with the full restaurant experience launching in February 2026.
Popular American fast food franchise Shake Shack is coming to Manchester
Danny Jones
Greater Manchester is getting another big global franchise as Shake Shack is finally set to make its Northern debut.
With so many good burger joints and a million and one great places to grab a good portion of chips in town alone, they’ll have to hit the ground running to fight off the competition.
The well-known transatlantic multinational is nothing short of massive in the States, vying with the likes of In-N-Out Burger, Five Guys, Carl’s Jr. – also eyeing up multiple UK sites over the next few years – Whataburger and Wendy’s, just to name a rather large handful. Oh yeah, and Maccies, of course.
Yanks will debate until the cows come home (pardon the pun) about which is best, and many believe Shake Shack is right up there, so Manchester foodies have every right to be excited. Consider this a belated Thanksgiving contribution.
The New York-founded company already has multiple locations on this side of the pond, such as several in London, which is where we first sampled it for ourselves.
Other venues include Birmingham, Cambridge, Oxford and Cardiff, as well as one inside Gatwick Airport; as for the brand’s first Manchester branch, Shake Shack UK no. 18 will be coming to the borough of Trafford and one of the biggest shopping destinations in the region.
But what sets this burger and milkshake-driven brand apart from the others?
Well, for starters, you could argue they’re not even most famous for their patties, buns or shakes; the first time we ever heard about Shake Shack was regarding their fries – specifically, the crinkle-cut shape and that very American-style cheese sauce.
They have long proved divisive among the masses, but those who love them go NUTS for the stuff, and you’ll find all manner of fakeaway recipes online of people trying to make their best imitation of the side and sauce, specifically.
Put it this way, Colonel’s gravy on KFC chicken is what cheese sauce is on Shake Shack fries. It may not be everyone’s cup of tea, but fans will stan this scran to no end.
Case and point:
My first time at Shake Shack 👌🏼💚 The cheese fries might be my new hyper fixation 🍟 pic.twitter.com/3HVwAgxRtD
Honestly, you’ll find countless examples of this kind of post on social media…
Richard Franks, Business Director at Shake Shack UK, said: “Manchester’s a city that does things proper; it’s full of heart, graft and great taste. We’re so pumped to be growing Shake Shack across the UK, and to be opening our first Northern Shack at Trafford Centre. We can’t wait to be a part of this city.”
The major mall and North West tourist attraction’s Centre Director, Simon Layton, added: “We’re really excited to welcome Shake Shack’s first Northern restaurant to the Trafford Centre.
“We know our visitors are going to love getting their hands on those iconic ShackBurgers and crinkle-cut fries. It’s a huge moment for the North – and we can’t wait for everyone to experience it with us in 2026.”
Opening in place of the Costa in the Great Hall, the opening of Shake Shack Manchester at the Trafford Centre is scheduled for next March. Exciting times.
Georgina Pellant -
23rd February 2023 
