UK street food vendors fear the future ahead of budget

Across Britain’s markets and festivals, the vibrant hum of street food — once a symbol of entrepreneurial spirit and culinary creativity — has begun to quieten. New research has revealed that independent food vendors are rapidly losing confidence in their future as the Autumn Budget looms, with many fearing the sector may be heading towards a cliff edge.

According to data from independent hospitality group Kerb, a mere one per cent of surveyed street food businesses believe the UK street food sector has a strong and viable future. The findings paint a stark picture of an industry that once incubated household names like Franco Manca, Bleeker Burger, and Pizza Pilgrims, but now finds itself struggling to stay afloat under mounting economic pressure.

Kerb’s chief executive, Simon Mitchell, said the findings sent a “clear message” to government: “Street food has long been where the next generation of hospitality businesses start out – but the system is stacked against them right now.”

Mitchell warned that soaring costs have forced traders to slash labour expenses, trapping owners on the frontlines instead of enabling them to focus on growth and innovation. The figures back up his concern:

• 88.5% of vendors have increased menu prices in the past six months.

• 71.2% have reduced staff hours.

• 29% have cut staff entirely.

• A quarter have scaled back trading days, while almost half have shelved plans to expand to permanent sites.

This wave of retrenchment marks a significant reversal for a sector that has, for over a decade, served as the breeding ground for Britain’s most dynamic hospitality talent.

Industry leaders are urging Chancellor Rachel Reeves to intervene in the upcoming Autumn Budget with decisive measures to prevent widespread closures. UKHospitality has called for immediate cuts to business rates, reductions in VAT, and reforms to National Insurance to ease the burden on small operators.

The sector faces stark numbers: 111,000 hospitality jobs are expected to be lost by the end of November, just 13 months after the previous Budget added an estimated £3.4 billion in extra annual costs.

A VAT reduction was overwhelmingly cited by respondents as the single most impactful measure, with 94.2% supporting a cut to between 10–13%, bringing the UK in line with the European average. Prominent industry figures — including Heston Blumenthal and over 600 Greene King landlords — have echoed these calls, arguing that pubs and independent operators face “serious pressure.”

The research further highlights that around two-thirds of British hospitality businesses have less than six months of financial reserves, while one in five have none at all. This precarious financial footing underscores the need for immediate intervention to stabilise the sector and restore business confidence.

Mitchell concluded with a pointed comparison: “Other countries are protecting their hospitality sectors and reaping the rewards of greater investment, growth and a flourishing independent food scene. It’s time the UK did the same.”

As Britain prepares for another Budget, the message from the kerbside is clear — without support, one of the nation’s most accessible routes into hospitality could fade from its streets altogether.