The UK pub sector is a vital part of the UK hospitality industry, contributing an estimated £34 billion to the economy, and employing more than 400,000 people. As of 2024, there were approximately 45,000 pubs across the country. Despite these figures, the pub industry is in serious decline. The past few years have seen the industry shrink significantly in terms of revenue and venue count.

Why are UK Pubs Struggling?

Like the wider hospitality sector, publicans are under immense pressure from rising operational costs, high staff turnover and ongoing labour shortages. While these problems weigh heavily, the pub industry also has to contend with specific challenges, among them market fragmentation, declining alcohol consumption, competition from supermarket pricing and planning constraints. Together, these challenges are proving insurmountable for many operators.

How Many Pubs are Closing in the UK?

In 2024 alone, more than 300 pubs closed in England and Wales. In 2025, the number is projected to rise even further with around 380 expected to close their doors. That’s more than one pub closing every day. Behind each closure is a business that couldn’t withstand the mounting pressure. And it’s a stark reminder of just how fragile the pub industry has become.

Self-Inflicted Problems

Many of the pressures facing the UK pub industry are external. But some are unfortunately self-inflicted, particularly among free-houses and independents where inaction and outmoded thinking are rife. The inevitable fallout is driven by a litany of operational failings, most notably:

• Failure to Adapt to Changing Consumer Habits
• Poor Financial Oversight
• Bad Pricing Strategies
• Lack of Good Customer Data
• Neglecting Staff Wellbeing

How Can Pubs Survive?

Pub survival in the UK depends heavily on adapting to a rapidly changing social, regulatory and economic landscape. But longevity doesn’t come from fighting the system - most external challenges can’t be changed. Planning and licensing laws remain snarled in local red tape and committee-happy councillors, high business rates show little sign of easing, and staffing difficulties are a constant headache. 

Instead, operators need to focus on the problems that they can control, all of which are in-house. And like it or not, technology provides the single most effective solution to all of the operational blind spots mentioned above. Here’s how.

Adapting to Changing Consumer Habits

The rapid evolution of consumer habits is an industry-wide challenge. ‘Convenience’ and ‘experience’ have become bywords for a demanding customer-base – one that expects quality, speed and relevance. For pubs, this means thinking about how you serve, not just what you serve.

At an operational level, this means delivering a fast, seamless ordering and payment process, reduced wait times and consistency across every customer touchpoint. Meeting these standards requires efficiency at both front and back of house.

How Tech Helps

Technology is now non-negotiable in this area - indeed, end-to-end restaurant management systems are becoming increasingly critical for operations large and small. For smaller pubs, these systems need to include intuitive POS systems for contactless payments as an absolute bare minimum.

Larger public houses, especially those serving food, require similar solutions but on a grander scale. In other words, POS to kitchen order routing, handheld terminals featuring order and payment processing, reservation management, table ordering and QR code functionality. Flexible tab payment processing is also extremely helpful, particularly in a pub environment.

A seemingly daunting list of requirements, all of these features are available out of the box, with best-in-class restaurant management systems. 

Key Tech for Adapting to Changing Consumer Habits

• Contactless POS Systems
• POS to Kitchen Order Routing
• QR Code and Table Ordering
• Centralised Handheld Order and Payment Processing
• Reservation and Booking Management
• Tab Management

Maintaining Strong Financial Oversight

A common business failing no matter the industry, poor financial control will quietly destroy a pub from the inside out. Given the tight margins most operate on, the outcome is almost inevitable. And sadly, this kind of mismanagement is all too common - a reliance on spreadsheets, guesswork and bad data usually the financial wheels to come off.

How Tech Helps

It’s worth noting that some tech systems are far better than others when it comes to supporting sound financial control in pubs. Accurate oversight requires fully integrated systems that connect all operational areas – but not all tech stacks deliver this. Some are little more than disconnected tools patched together which ultimately lead to blind spots and fragmented data.

Centralised, end-to-end restaurant management platforms are therefore an absolute must. By integrated key functions such as order/payment processing, inventory management, staffing and reporting, they provide the kind of real-time visibility that’s integral to staying on top of costs.

Yet, these solutions alone won’t be enough for ensuring financial stability unless there’s full buy-in from the operator. Full implementation is everything.

Key Tech for Maintaining Strong Financial Oversight

• Centralised End-to-End POS System
• Integrated Inventory Management
• Staff Scheduling Tools
• Real Time Profit and Loss Reporting
• Real-Time Tech Stacks

Implementing Sound Pricing Strategies

Poor pricing strategies can prove calamitous to a pub’s longevity, with overpricing and under-pricing posing serious risks to profitability and customer loyalty. For pubs locked into brewery or pubco agreements, there is of course little room for manoeuvre. But free-houses and independents aren’t constrained by rigid price setting. Unfortunately, many waste that freedom by relying on gut feeling, unimaginative pricing structures and unreliable data.

How Tech Helps

Adopting and implementing tech stack that include real-time cost and sales data, AI-driven forecasting and integrated menu engineering tools is a prudent step. 

These tools offer the kind of insights needed to make impactful pricing decisions. Real-time cost and sales data allows operators to react instantly to changes in ingredient costs and track margins, dish by dish. Dynamic forecasting provides clarity on future demand which helps over-stocking and improves supplier purchasing. And integrated menu engineering tools enable operators to reprice, promote or retire drinks and dishes according to accurate data.

Key Tech for Implementing Sound Pricing Strategies

• Real-Time Cost and Data Analysis
• AI-Driven Forecasting
• Advanced Menu Engineering Tools

Collecting Good Customer Data

Many pubs rely on casual, walk-in trade, especially in the UK where local custom is often the lifeblood of the business. Because of this, booking systems are frequently overlooked by publicans who see little need for them. Operationally-speaking, this is an understandable assumption.

But without some kind of system in place, be it for bookings or customer relationship management, it becomes extremely difficult to gather customer data – without customer data, boosting engagement and building emotional connections with patrons is next to impossible.

How Tech Helps

One of the central features of any POS management system is data capture - the ability to track what customers buy, how much they spend and when they visit. When combined with integrated loyalty modules and CRM management, this data becomes an extremely powerful asset providing operators with a solid foundation from which to personalise promotions, reward repeat visits and build stronger customer relationships. The actual outreach is often taken care of as well with automated emails and SMS services included with many of the latest systems. 

Key Tech for Collecting Customer Data

• Data Capture at Point of Sale
• Integrated Booking Systems
• Integrated Loyalty Modules
• CRM Management Tools
• Automated Outreach Tools

Ensuring Staff Wellbeing

In keeping with hospitality in general, working in the pub sector involves long, unsociable hours, low pay and plenty of stress. Add to that a lack of proper training and a lingering ‘tough it out’ attitude that still pervades pub culture, and it’s little wonder that staff turnover is so high. No-shows and a revolving door of put-upon staff adds to the workload of remaining team members, while driving up recruitment costs, disrupting operations and displeasing patrons.

How Tech Helps

In addition to being highly intuitive to use at point of sale (important during busy periods), end-to-end tech stacks will include staff management modules to help keep morale at acceptable levels.

Tools such as staff scheduling help to balance workloads while ensuring that staffing levels are optimised for busy and quiet times. Personalised communication channels such as feeds and personalised staff pages are also now commonplace. Additionally, payroll management tends to be far more transparent, allowing employees to see how their wages are calculated.

Key Tech for Ensuring Staff Wellbeing

• Staff Scheduling Tools
• Personalised Communication Channels
• Transparent Payroll Management

Embracing Tech for Survival

All the solutions mentioned here have the potential to change the trajectory of any struggling pub. Sadly, resistance to technology tends to be strong in smaller, independent establishments. Concerns about costs, a reluctance to change ‘what’s always worked’ and a fear of complexity all get in the way. And the consequences are usually quite predictable.

So, technology alone is not going to be enough to rescue failing public houses unless there’s full buy-in from the operator and staff. Full implementation is critical. Even the most sophisticated tech stacks won’t make a difference if they’re only partially adopted or used inconsistently. Real gains come when systems are fully embedded into daily operations, with clear processes, staff training, and an ongoing commitment from leadership.

Discover how Syrve is helping UK pubs to survive and thrive.