How restaurants can get ahead in the race for value  

Inflationary impacts 

The Foodservice Price Index from NIQ and Prestige Purchasing highlights the full scale of inflation in hospitality in recent years. It recorded double-digit increases in food and drink prices in the aftermath of COVID-19, and while inflation has eased since then, it has outpaced increases in many other areas of consumers’ spending. Compound inflation since mid-2022 now tops 30%, or in other words, food and drink prices for hospitality have risen by nearly a third in just four years.

This has inevitably forced pubs, bars and restaurants to raise their menu prices. NIQ’s Trading Index shows the average price of a main in restaurants has risen from around £11 in 2022 to just below £12.50 now. But while food establishments raised their prices just above the rate of food inflation for most of 2025, they have held down increases below those of the Index so far in 2026. This is partly the result of efficiencies that businesses have managed to achieve in some operational areas. 

The new normal in value 

High inflation means consumers have increased their outgoings in nearly all parts of their lives. In early 2022 guests were spending an average of £25.35 per head in restaurants, but the figure has since risen by nearly £5 to £30.08 in 2026. Some people have cut back on their orders or gone out less often to account for these price increases, but while 42% still eat out weekly, this is well below pre-COVID figures. 

The post-pandemic spike in meal prices led to a dip in value for money perceptions for restaurants. NIQ’s BrandTrack survey revealed that by early 2023, only 27% of guests strongly agreed that their experience represented good value for money – down by 6 percentage points from two years previously. 

However, perceptions have improved since then. The figure marginally recovered to 30% by early 2026, in a sign that consumers have adjusted their expectations on price. Another encouraging indicator is that just 17% think restaurant brands are expensive – a figure that is unchanged from five years ago. This suggests that restaurants’ efforts to demonstrate value for money in recent years are paying off or that consumers now accept and understand the cost pressures that restaurants are under. 

Communicating value 

NIQ’s BrandTrack solution provides numerous insights for raising perceptions of value. Standards matter most, with 43% and 38% of guests believing value means high quality in food and drink respectively. But little touches can add up to a big difference, with smaller but significant proportions of guests agreeing that value impressions can be influenced by things like well-presented dishes (19%), nice glassware (14%) and drinks garnishes (11%).