The rules come into force later this year and will see bars and pubs pass on the cost
The average cost of a pint in Britain could tip over £5 for the first time as the latest research reveals the impact of new service charges as restaurants and pubs try to bounce back from tough times. The research found 74% of the hospitality industry will apply a service charge as standard for pouring pints and making cocktails.
22% of businesses already charge a tip while 52% plan to add a charge of up to 10% for the service, pushing the current average price of £4.75 for a pint to over £5 in some places for the first time. Those living in East Sussex, Northern Ireland and the capital could bear the brunt of these changes. In London, a pint will cost you on average £7.15 with a 10% tipping charge, followed by Belfast and Brighton and Hove .
From October this year, all UK hospitality businesses will have to distribute 100% of customer tips and service charges to staff, with no exceptions other than standard-rate tax deductions, under the Employment Act 2023. When asked how much it would cost to give staff 100% of tips, one in five businesses claimed it would increase their annual costs by £60,000-£360,000.
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