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UK Hotels Face a New Challenge: Rising Wages, Squeezed Margins

Summary by Hospitality Net
The UK government’s April 2025 increase in the National Living Wage—from £11.44 to £12.21 per hour—isn’t just a regulatory update. It’s a fundamental shift in the economics of hospitality. Labour costs are rising sharply, and profitability is under pressure. But the impact isn’t uniform. Some cities are struggling. Others are adapting. A few are even thriving.
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Hospitality Net broke the news in on Thursday, July 3, 2025.
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