Episode 129: Paul Goodgame on Leadership, Inflation, and the Future of Fish & Chips

The latest episode of The Ceres Podcast is one fish and chip shop owners can't afford to miss. Host Stelios Theocharous sits down with Paul Goodgame, Managing Director of The Chesterford Group, for a frank, insightful, and often eye-opening conversation about the state of the industry. Paul shares his journey from humble beginnings as a chip boy to leading one of the UK's most successful multi-site fish and chip businesses. He provides invaluable insights into the biggest challenges facing the industry today.

Paul Goodgame's story is one of dedication and deep industry knowledge. Having been around fish and chip shops since birth, his father was a key figure at The Chesterford Group, and Paul grew up immersed in the business. By age 16, he was already frying at a high standard; by 26, he was an operations manager. He credits his ability to hyper-focus, something he later realised may be linked to ADHD, as a key driver of his success. His deep-rooted experience has given him a unique perspective on the evolution of fish and chips and the industry's challenges.

A key theme of the episode is the ongoing financial pressures on fish and chip shops. Inflation, soaring energy costs, and increasing wages make remaining profitable more challenging than ever. Paul candidly discusses how The Chesterford Group has adapted, from implementing energy-saving measures to menu adjustments that balance profitability and customer value. He acknowledges that while food prices may stabilise, they are unlikely to return to pre-crisis levels anytime soon.

One particularly striking moment in the episode is when Paul describes the reality of fish prices: "We're not going from expensive to cheap—from extremely expensive to just expensive." This sentiment will resonate with many shop owners as they navigate balancing costs with customer expectations. Perhaps the discussion's most controversial and impactful part is Paul's take on VAT fraud within the fish and chip industry. He argues that many independent shops illegally avoid VAT, creating an unfair playing field for legitimate businesses. "We've got a parasite in our industry. So many shops are avoiding VAT, paying staff in cash, and operating under the radar."

He shares eye-opening insights into how widespread this problem is, stating that a staggering percentage of shops they've assessed for potential acquisition were not compliant with tax laws. This, he argues, puts honest businesses at a severe disadvantage when competing on price.

Paul believes the only real solution is government intervention to prevent wholesalers from accepting cash payments—a move that would force all businesses to operate transparently. This podcast segment is a must-listen for any operator frustrated by unfair competition. Paul also delves into the lessons learned from The Chesterford Group's transition into delivery. Initially, they believed managing their fleet of drivers would be the best approach, but the reality proved otherwise. From high-speed accidents to logistical nightmares, managing delivery vehicles became unsustainable.

The big takeaway? Partnering with third-party aggregators (like Uber Eats and Deliveroo) has proven a more viable solution, even with commission fees. What's surprising, though, is that despite takeaways facing backlash for price increases, Paul notes that customers rarely complain about the 30% markup on delivery—highlighting the power of convenience in consumer decision-making.

Looking ahead, Paul acknowledges that the challenges aren't going away anytime soon. Labour shortages remain a pressing issue, with The Chesterford Group even turning to international recruitment to keep operations running smoothly. Meanwhile, energy costs remain a significant concern, pushing the company to implement efficiency strategies across their stores. But Paul is optimistic. With the right approach—focusing on quality, value, and operational efficiency—fish and chip shops can not only survive but thrive.

This episode of The Ceres Podcast is packed with valuable takeaways for any fish and chip business owner. Whether you're running a single shop or a multi-site operation, Paul's insights into leadership, pricing strategies, VAT challenges, and consumer trends are incredibly relevant. If you're serious about staying ahead in the fish and chip industry, this is an episode you don't want to miss.