Ramsay says UK restaurants are battling to stay afloat as his losses triple
Gordon Ramsay has said parts of the restaurant industry are “battling to stay afloat” as losses at his empire tripled after it spent millions of pounds on expansion.
Sales at the chef’s restaurants, which range from his Michelinstarred Restaurant Gordon Ramsay to Street Burger, rose 21% to £95.6m in the year to 27 August, and the group took on 290 more staff.
But pre-tax losses rose to £3.4m from £1.05m the previous year after £4.9m of one-off costs, the vast majority of which related to new restaurants including a Lucky Cat outlet in Manchester, a Bread Street Kitchen outlet in London’s Battersea power station, and a Street Pizza outlet in Edinburgh. He also bought the Shoreditch eatery Pizza East.
Ramsay said: “It’s been a really hard-fought year, but at the same time an exciting year, and in tough times it amazes me how strong and vibrant our industry is. It’s challenging out there and businesses are battling to stay afloat, rising costs, rent and food costs, multiple strikes.
“However, I genuinely don’t think there’s been a year since I opened my first restaurant in 1998 where there has been so much passion and vibrancy in our industry.”
Ramsay said he was on track to surpass £100m of sales this year. He intends to open five restaurants in London’s new skyscraper, 22 Bishopsgate, including Lucky Cat and its roof terrace on level 60, making it the capital’s highest restaurant.
The development will also include an outpost of Bread Street Kitchen and Bar and a 14-seat chef’s table from Restaurant Gordon Ramsay and the Gordon Ramsay Academy, where culinary enthusiasts hone their skills.
Ramsay said: “This is more than just a new opening – it’s a significant milestone for our business. We’re not only launching the highest culinary experiences in London, but also creating a vibrant culinary hub at the incredible 22 Bishopsgate.”
Ramsay also has an academy in Woking, where the local council lent his group more than £1.6m in 2021 to help with the fit out of the venture and its neighbouring Street Burger restaurant.