London's hospitality scene is witnessing a major expansion from one of its key players, as Urban Pubs & Bars embarks on an aggressive buying spree buoyed by exceptionally strong Christmas trading.
Festive Cheer Fuels Expansion Plans
The London-based pub group, which is the capital's largest independent operator, has toasted a significant sales increase over the crucial festive period. Trading throughout December 2025 was significantly ahead of the previous year, delivering excellent like-for-like sales growth of 14.5 per cent and a 40 per cent increase in total covers.
"The energy across the business continues to be fantastic," said managing director Chris Hill. This robust performance has provided the impetus for a series of strategic acquisitions in the new year.
A String of Strategic Acquisitions
This week, the company announced its sixth acquisition of 2026: The Birdcage in East London, purchased from Brewdog. This deal follows the recent completion of five premium venue purchases in January alone.
These include The Prince Regent in Herne Hill and a package of four established sites acquired from Brunning & Price. The Brunning & Price venues comprise:
- The Roebuck in Chiswick
- The Steam Packet in Chiswick
- The Queens in Crouch End
- Coco Momo in Kensington
Founded by Malc Heap and Nick Pring and backed by Davidson Kempner and Global Mutual, the group now comprises 66 sites. Its latest accounts showed a turnover of £29.5m for the year to end April 2024, a rise of 27.4 per cent, with pre-tax profit nearly doubling to £655,000.
Wider Sector Performance and Looming Challenges
Urban Pubs & Bars' results compare favourably with listed rivals. Mitchells & Butlers reported a 7.7 per cent sales jump in the three weeks to 3 January, while Fuller's saw like-for-like sales up 5.3 per cent in the 15 weeks to 10 January.
However, these stellar results are set against a backdrop of severe warnings for the wider hospitality sector. The industry cautions of more pub closures ahead due to rising labour costs, continued inflation, and soaring business rates.
A new website, ismypubfucked.com, uses Valuation Office Agency data to highlight London pubs facing the most extreme proposed rates hikes. The site identifies the Spread Eagle in Wandsworth as the capital's "most fucked pub," facing a potential £104,000 increase (+622 per cent). Other venues in severe danger include The Beaten Docket in Cricklewood and The Dog and Bell in Deptford.
While the government is expected to adjust how business rates are calculated, the website notes that rates are "just one pressure" on an industry also grappling with higher wages, National Insurance, alcohol duty, energy costs, and decreased customer spending.
