The lifespan of London’s fine dining restaurants is getting shorter as higher costs and intense competition make it ever harder for even highly rated establishment to survive, according to an influential restaurant guide.
The latest edition of Harden’s London Restaurants reveals that there were 132 openings over the past year, the third lowest total since the guide launched in 2010, but 84 closures, including some of the most highly regarded names in London.
Well respected restaurants that have shut include Mayfair stalwart Le Gavroche, and Marcus Wareing at the Berkeley, as well as L’Amorosa, Anglo, Cornerstone, Frenchie, Galvin at Windows, Mere, Odette’s, Pidgin, and Plu.
Harden’s co-founder and editor said: “It is becoming increasingly clear that growth in London’s restaurants is stuck in low-gear and has been for some time. This trend was masked in part by the pandemic - low growth had seemed to be a consequence of Covid-19 from which recovery would be imminent - but it’s now becoming clear that it was reflective of something deeper. Now with our third year of data post-pandemic this is looking like a seven-year flatline.
“But although London’s restaurant market is exhibiting a similar level of low growth to that experienced in the early nineties, the calibre of the eateries populating the city is a far cry from what was on offer 30-years-ago. Many restaurant openings back then were mediocre to say the least; as a rule, it was the good restaurants who maintained their footing and survived.
“But this formula does not apply today. Even good restaurants can fail to turn a profit with so many offerings going over a relatively fixed pool of dining spend. The lifespan of restaurants appears to be getting shorter, contributing to the significant rate of closures – not helped by the cost-of-living crisis.”
Restaurants say they are also being clobbered by tax increases including the huge hike in the employers’ National Insurance burden announced by Rachel Reeves in the Budget
Harden added: “It’s important to not look at this too bleakly. The dining scene is still incredibly interesting and vibrant but renewal is a problem. In this unforgiving market, restaurants are getting a shorter period in the sun in which to make their mark and secure their future.
“But, we are seeing newcomers making an immediate impact, as demonstrated by The Devonshire in Soho which leapt straight to the top of this year’s Best Bar & Pub category. Compared to 30 years ago, we’re getting more quality openings but the market that they are entering is a harder one and how long they will endure is the big question.”
The average cost of eating out in London rose 4.2% to £78.84, well ahead of the rate of inflation but well below the 9.2% recorded the previous year.
Other new arrivals scorimng well in the annual Harden’s diners’ poll include : Akara, Arlington, Brooklands, Counter 71, Josephine, Kolae, Mambow, Morchella, Mountain, The Park, Pearly Queen, 64 Goodge Street and The Wolseley City.
Another trend flagged up by the guide includes a resurgence in classic French cooking.
French cuisine replaced Japanese as the third highest category with 10 newcomers including the French canteen-style Café Francois in Borough Yards. It has also been announced that Cannes restaurant La Môme will replace Marcus Wareing at The Berkeley.
