Rising energy costs could cost £1.2m, warn Fuller's

Pub owner and operator Fuller's has warned that the rising cost of energy could see its electricity and gas bill rise by £1.2m in the coming year.

The London-based company, which saw profit before tax rise by 4% to £23m and revenues up by 2% to £181.1m for the year ending 29 March, revealed that its energy costs rose by £600,000 during the period.

It warned that this rise could double in the next financial year, adding that current inflationary pressure was not only pushing up its costs but squeezing the spending of customers.

However, Fuller's chairman Michael Turner said he would invest £16m in his estate of 203 tenanted and 157 managed pubs during the next 12 months.

"I am delighted to report another good set of results in what can only be described as a challenging year for the industry," he said.

"Our consistent focus on quality, and commitment to outstanding cask conditioned ales, delicious food, great wines and exemplary service, continues to provide the best foundations for a stable business.

"We operate in the premium end of the market and believe this is the only place to be," he added.

Like London rival Young's, Fuller's will continue to invest in its 494-bedroom hotel business, and has seen sales rise in its hotels and managed pubs division by 2.4% in the nine weeks since its financial year closed.

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By Christopher Walton

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