United Kingdom Foodservice Market Size

The United Kingdom Foodservice Market is projected to experience significant growth over the forecast period, with the market size expanding notably. The quick service restaurants segment is anticipated to grow steadily due to enhanced standardization across chains, which is expected to attract more consumers. Meanwhile, cloud kitchens are poised for the fastest growth, driven by the increasing preference for online delivery and their cost-effectiveness for manufacturers. Full service restaurants are also growing, particularly with the incorporation of healthier options in European cuisine. Additionally, the cafes & bars segment is benefiting from the rising popularity of specialty tea and coffee, contributing to the overall expansion of the market.

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Market Size of united kingdom foodservice Industry

United Kingdom Foodservice Market Summary
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svg icon Study Period 2017 - 2029
svg icon Market Size (2024) USD 99.44 Billion
svg icon Market Size (2029) USD 134.50 Billion
svg icon Largest Share by Foodservice Type Quick Service Restaurants
svg icon CAGR (2024 - 2029) 6.23 %
svg icon Fastest Growing by Foodservice Type Cloud Kitchen

Major Players

United Kingdom Foodservice Market Major Players

*Disclaimer: Major Players sorted in no particular order

Key Players

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United Kingdom Foodservice Market Analysis

The United Kingdom Foodservice Market size is estimated at 99.44 billion USD in 2024, and is expected to reach 134.50 billion USD by 2029, growing at a CAGR of 6.23% during the forecast period (2024-2029).

99.44 Billion

Market Size in 2024 (USD)

134.50 Billion

Market Size in 2029 (USD)

6.79 %

CAGR (2017-2023)

6.23 %

CAGR (2024-2029)

Largest Segment by Foodservice Type

34.35 %

value share, Quick Service Restaurants, 2023

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QSRs have been quick to adapt to changing consumer preferences and demands. QSRs have introduced healthier menu options, catering to individuals looking for nutritious choices.

Largest Segment by Outlet Type

57.34 %

value share, Independent Outlets, 2023

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Independent outlets hold a major share due to the appeal of unique and authentic dining experiences. They are focused on creating a community-oriented atmosphere in the United Kingdom.

Fastest-growing segment by Foodservice Type

32.39 %

Projected CAGR, Cloud Kitchen, 2024-2029

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Full service restaurants prioritize modifying menus to account for changes in customer tastes and habits while enhancing their delivery capabilities.

Fastest-growing segment by Outlet Type

6.35 %

Projected CAGR, Independent Outlets, 2024-2029

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Independent outlets continue to grow as they emphasize creating unique, individualistic, vibrant atmospheres that are more difficult for the larger chains.

Leading Market Player

1.17 %

market share, The Restaurant Group PLC, 2022

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The company operates more than 400 restaurants in the United Kingdom, with major brands like Brunning & Price, Benny's, Chiquito, Wagamama, Coast to Coast, Firejacks, and TRG Concessions.

Rising coffee and tea consumption in the country especially in speciality tea/coffee is driving the market growth

  • The quick service restaurants segment is expected to register a CAGR of 5.20% by value during the forecast period, owing to the standardization across food outlet chains in terms of ambiance, hygiene, service time, and ease of access. This is expected to raise consumer interest, thereby increasing overall footfall.
  • However, cloud kitchens are anticipated to register the fastest growth at a CAGR of 31.84% during the forecast period, with booming online delivery preference by consumers, especially after the COVID-19 pandemic. The country experienced a growth in online delivery by 110% in 2021. Moreover, the affordability that cloud kitchens offer to manufacturers with less investment is boosting the growth of cloud kitchens in the United Kingdom.
  • The market for full service restaurants registered a CAGR of 5.56% by value during the study period. European cuisine held the largest share of the market in 2022, with a 47.06% value stake. The growth of the segment can be attributed to the introduction of vegan, low-sugar, and gluten-free options to traditional European dishes by restaurants. FSR outlets have tried to make these dishes healthier and more appealing to the consumer due to a growing demand for nutritional diets in the United Kingdom.
  • The growth of cafes & bars is supported by the rising consumption of tea and coffee in the country, especially in the specialty tea/coffee category. Around 70% of consumers in the United Kingdom drink at least two cups of coffee or more per day. Moreover, 23% of coffee drinkers regularly downed more than three cups of coffee per day, and 21% drank more than four cups per day in 2021. Hence, the cafes & bars segment in the United Kingdom is projected to register a CAGR of 4.87% by value during the forecast period.
United Kingdom Foodservice Market

United Kingdom Foodservice Industry Segmentation

Cafes & Bars, Cloud Kitchen, Full Service Restaurants, Quick Service Restaurants are covered as segments by Foodservice Type. Chained Outlets, Independent Outlets are covered as segments by Outlet. Leisure, Lodging, Retail, Standalone, Travel are covered as segments by Location.

  • The quick service restaurants segment is expected to register a CAGR of 5.20% by value during the forecast period, owing to the standardization across food outlet chains in terms of ambiance, hygiene, service time, and ease of access. This is expected to raise consumer interest, thereby increasing overall footfall.
  • However, cloud kitchens are anticipated to register the fastest growth at a CAGR of 31.84% during the forecast period, with booming online delivery preference by consumers, especially after the COVID-19 pandemic. The country experienced a growth in online delivery by 110% in 2021. Moreover, the affordability that cloud kitchens offer to manufacturers with less investment is boosting the growth of cloud kitchens in the United Kingdom.
  • The market for full service restaurants registered a CAGR of 5.56% by value during the study period. European cuisine held the largest share of the market in 2022, with a 47.06% value stake. The growth of the segment can be attributed to the introduction of vegan, low-sugar, and gluten-free options to traditional European dishes by restaurants. FSR outlets have tried to make these dishes healthier and more appealing to the consumer due to a growing demand for nutritional diets in the United Kingdom.
  • The growth of cafes & bars is supported by the rising consumption of tea and coffee in the country, especially in the specialty tea/coffee category. Around 70% of consumers in the United Kingdom drink at least two cups of coffee or more per day. Moreover, 23% of coffee drinkers regularly downed more than three cups of coffee per day, and 21% drank more than four cups per day in 2021. Hence, the cafes & bars segment in the United Kingdom is projected to register a CAGR of 4.87% by value during the forecast period.
Foodservice Type
Cafes & Bars
By Cuisine
Bars & Pubs
Cafes
Juice/Smoothie/Desserts Bars
Specialist Coffee & Tea Shops
Cloud Kitchen
Full Service Restaurants
By Cuisine
Asian
European
Latin American
Middle Eastern
North American
Other FSR Cuisines
Quick Service Restaurants
By Cuisine
Bakeries
Burger
Ice Cream
Meat-based Cuisines
Pizza
Other QSR Cuisines
Outlet
Chained Outlets
Independent Outlets
Location
Leisure
Lodging
Retail
Standalone
Travel
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United Kingdom Foodservice Market Size Summary

The United Kingdom foodservice market is experiencing significant growth, driven by evolving consumer preferences and technological advancements. The market is characterized by a diverse range of segments, including quick service restaurants, cloud kitchens, full service restaurants, and cafes & bars. Quick service restaurants are benefiting from standardized offerings in terms of ambiance and service, which are attracting more customers. However, cloud kitchens are emerging as the fastest-growing segment, fueled by the increasing demand for online food delivery services, a trend that gained momentum during the COVID-19 pandemic. The affordability and lower investment requirements of cloud kitchens are further propelling their expansion in the UK market. Full service restaurants are also adapting to consumer demands by introducing healthier options, such as vegan and gluten-free dishes, particularly in European cuisine, which holds a significant market share.

Cafes and bars are witnessing growth due to the rising consumption of specialty tea and coffee, with a notable increase in coffee consumption among UK residents. Despite the decline in the number of pubs, the proliferation of coffee shops is expected to continue, with new outlets opening regularly. The market is fragmented, with major players like Greggs PLC, McDonald's Corporation, and Nando's Group Holdings Limited holding a small share collectively. The popularity of fast food, particularly burgers and chicken dishes, is driving the expansion of both quick service and full service restaurants. The market's competitive landscape is further shaped by strategic investments and partnerships, such as Starbucks' plans to open new outlets and Co-op's collaboration with Just Eat for on-demand delivery services.

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United Kingdom Foodservice Market Size - Table of Contents

  1. 1. MARKET SEGMENTATION (includes market size in Value in USD, Forecasts up to 2029 and analysis of growth prospects)

    1. 1.1 Foodservice Type

      1. 1.1.1 Cafes & Bars

        1. 1.1.1.1 By Cuisine

          1. 1.1.1.1.1 Bars & Pubs

          2. 1.1.1.1.2 Cafes

          3. 1.1.1.1.3 Juice/Smoothie/Desserts Bars

          4. 1.1.1.1.4 Specialist Coffee & Tea Shops

      2. 1.1.2 Cloud Kitchen

      3. 1.1.3 Full Service Restaurants

        1. 1.1.3.1 By Cuisine

          1. 1.1.3.1.1 Asian

          2. 1.1.3.1.2 European

          3. 1.1.3.1.3 Latin American

          4. 1.1.3.1.4 Middle Eastern

          5. 1.1.3.1.5 North American

          6. 1.1.3.1.6 Other FSR Cuisines

      4. 1.1.4 Quick Service Restaurants

        1. 1.1.4.1 By Cuisine

          1. 1.1.4.1.1 Bakeries

          2. 1.1.4.1.2 Burger

          3. 1.1.4.1.3 Ice Cream

          4. 1.1.4.1.4 Meat-based Cuisines

          5. 1.1.4.1.5 Pizza

          6. 1.1.4.1.6 Other QSR Cuisines

    2. 1.2 Outlet

      1. 1.2.1 Chained Outlets

      2. 1.2.2 Independent Outlets

    3. 1.3 Location

      1. 1.3.1 Leisure

      2. 1.3.2 Lodging

      3. 1.3.3 Retail

      4. 1.3.4 Standalone

      5. 1.3.5 Travel

United Kingdom Foodservice Market Size FAQs

The United Kingdom Foodservice Market size is expected to reach USD 99.44 billion in 2024 and grow at a CAGR of 6.23% to reach USD 134.50 billion by 2029.

In 2024, the United Kingdom Foodservice Market size is expected to reach USD 99.44 billion.

United Kingdom Food Service Market Report Snapshots

United Kingdom Foodservice Market SIZE & SHARE ANALYSIS - GROWTH TRENDS & FORECASTS UP TO 2029