By Simon Zekaria
LONDON--Trading for pubs and restaurants across the U.K.
improved in May, boosted by warm weather at the end of the month, a
study released Wednesday showed.
The Coffer Peach Business Tracker reported that comparable sales
in May rose 2.6% on the year, following a fall of 2% in April.
Total sales, which include new openings, rose 6.5%.
The tracker monitors trends in the eating and drinking-out
market by collecting monthly performance data from 24 companies,
including Whitbread PLC (WTB.LN), Mitchells & Butlers PLC
(MAB.LN), Spirit Pub Co. PLC (SPRT.LN) and Marston's PLC
(MARS.LN).
Pubs and pub restaurants were the best performers, it said.
"The hotter weather at the end of May was a help for them after
a cool start," said analyst Peter Martin of Peach Factory, a market
intelligence group that produces the report in partnership with UBS
AG (UBS) and investment advisory service The Coffer Group.
Still, Mr. Martin cautioned high-street casual dining
restaurants had a tougher month and warned overall trading across
the industry remains "volatile".
Economists and businesses are concerned that economic weakness,
below-inflation pay rises and unemployment are crimping consumer
spending.
Still, analysts hope for a uplift in June from the Queen's
Jubilee bank holiday and the European soccer championships, even as
poor weather and tough comparatives weigh on trading.
The effect of the Olympic Games in London on trading for the
industry is hard to gauge, analysts added.
"The jury is out as to whether it will be positive or a big
turn-off for the food and beverage market," David Coffer, chairman
of The Coffer Group said.
-Write to Simon Zekaria at simon.zekaria@dowjones.com
