Nothing to be done: dining out is getting more expensive
Have you noticed that your bill when eating or drinking out is quite a bit higher than before the coronavirus crisis? Prices have gone up, and it will probably all get a little more expensive. Not only because staff are more expensive—and in short supply—but also because purchasing costs have risen. What can we expect?
The high prices in the hospitality industry are the sum of several factors. Coffee, for example, has become significantly more expensive because frosts in Brazil and drought in Colombia have caused harvests to fail. Oil costs more, pub owners have to pay more for a keg of beer, and bread, meat and other fresh products are also more expensive than before.
Attracting staff
Staff in the hospitality industry? Nowhere to be found, entrepreneurs complain. Temp agencies for service staff charge top dollar, while chefs are even harder to find and have to be lured with a good salary. Some entrepreneurs are even throwing in an apartment and extra vacation days—and it still isn’t enough.
Paying off debts
Economists assumed that prices in the hospitality industry would rise by around 3 percent, but they have since revised that estimate: the price increase will probably be higher. What’s more, hospitality entrepreneurs still have substantial debts hanging over their heads, such as deferred tax payments or repaying subsidies they wrongly received during the coronavirus crisis.
No capital
Industry organization Koninklijke Horeca Nederland (KHN) says that many hospitality entrepreneurs do not have enough capital in the bank to invest, nor enough revenue to catch up on their payment arrears. Who should pay for that? ‘The government chose to impose mandatory closures. Hospitality entrepreneurs were not compensated 100 percent. The government should make up for that damage, not the consumer,’ a KHN spokesperson told Nu.nl.
Paying more by card
That’s why you end up paying more by card after an afternoon on a terrace or an evening at the bar. And what can you do about it? Continue to enjoy eating out or having a drink on a terrace, if your budget allows. Above all, don’t forget to tip, because the staff in the dining room and kitchen have to work harder with fewer colleagues—and deal with more grumbling from guests feeling the pinch.
