By Andrew Lewis, CEO, Allara Global
My recent visit to London for the HRC (Hotel, Restaurant & Catering) 2025 expo in London, provided valuable insights into the current state and future direction of the hospitality sector. The event offered a comprehensive overview of the trends and challenges facing businesses today, and I wanted to share some of my key observations.
Compliance is key
A major focus of the attendees we spoke with was the critical importance of food safety and compliance. Ensuring adherence to the highest regulatory standards is paramount for maintaining customer trust and safeguarding public health. Businesses are clearly prioritising robust systems and processes in this area. The serious consequences of failing to comply with food allergy regulations are frequently highlighted in the press, including instances where business owners have faced significant penalties, and in tragic cases, imprisonment following fatal allergic reactions. Beyond the severe legal penalties, these high-profile cases also demonstrate the catastrophic reputational damage that can result from failing to protect customers with food allergies.
As a result, business owners must prioritise comprehensive staff training. The training should ensure teams not only understand the legislation upon joining but also maintain a strong awareness of the rules, with ongoing updates on any legislative changes.
Re-evaluating the tech stack for connected systems that improve efficiency
The strategic adoption of technology for enhanced efficiency was a prominent theme, with leaders across the hospitality sector expressing a keen interest in reassessing their entire tech infrastructure to ensure they have well-connected systems. These discussions highlighted a drive to optimise operations across all functions, from staff training to revenue generation, through truly integrated technological solutions.
The emphasis in the sessions I attended was firmly on businesses ensuring they are using the right tools to support their teams and drive efficient business growth, particularly in light of rising costs for business owners. A key part of this evaluation is ensuring that these systems can communicate effectively with each other. Well connected systems are crucial for supporting team efficiencies, eliminating data silos and streamlining workflows. While the use of Learning Management Systems for onboarding and ongoing training is not new – indeed, a significant percentage of those we spoke to have training technology in place – the current focus is on ensuring these individual systems are part of a truly integrated and connected tech stack that delivers tangible efficiencies and empowers their staff to work effectively and collaboratively.
Staff retention and mental fitness
The wellbeing and retention of staff emerged as another core business priority. The industry has faced considerable challenges in recent years, with the significant loss of talent following Brexit and then Covid, and there is a clear understanding of the need to invest in creating supportive and balanced work environments to attract and retain talent.
Initiatives focused on mental health, professional development, and upskilling, particularly for middle management, were widely discussed. It was great to connect with like-minded business leaders focused on supporting their staff’s career advancement. There was significant interest in leadership training and exploring staff development options beyond essential compliance training.
The cost-of-living and cost-of-running-a-business crisis
Economic pressures are mounting, and mean that effective cost management is a major concern for businesses. Every business owner I met talked about their concerns around the increase in National Insurance contributions alongside the increase in minimum wage. Costs have risen significantly in every area for businesses from food and beverages, through to utilities and wages. There is a real focus on using technology to identify efficiencies and optimise resource allocation.
It is evident that the challenges of increasing costs and staff retention are shared globally within the hospitality industry. This underscores the need for collaborative efforts and the exchange of best practices on an international scale.
And finally...
Finally, it is clear that governments have a crucial role to play in supporting the hospitality sector. As a significant contributor to the economy, the industry requires supportive policies that facilitate talent acquisition, skills development, and a favourable business environment. Fostering diversity within the workforce is also vital for long-term success.
My attendance at HRC 2025 provided a valuable opportunity to engage with industry leaders and gain a deeper understanding of the key issues shaping the future of hospitality in the UK. It was clear to see the synergies between Australia and the UK, and was really great to see their keen focus on innovation through the use of modern technology, and the wellbeing of both customers and staff being prioritised.
