The most recent Business Confidence Survey from NIQ has revealed that 51 percent of UK hospitality leaders feel more confident about prospects for their business over the next 12 months, a significant jump from the five-year-low of 26 percent in October.

The upward progress follows a strong festive period, with those feeling optimistic about the future of the hospitality sector itself also rising from 13 percent in late 2025 to 31 percent last month, the highest figure since mid-2024.

“An uptick in confidence after a strong Christmas is a very welcome sign of hospitality’s resilience in the face of relentless challenges,” said NIQ’s director of hospitality Karl Chessell. “However, there is still widespread uncertainty about prospects.” 

“Independents are the lifeblood of hospitality and the big brands of the future, but they have been overwhelmed by costs in recent years. Hospitality as a whole is in urgent need of targeted interventions from government if it is to sustain its contributions to the UK’s economy and jobs.”

Two thirds of businesses reported revenue for the recent fourth quarter increased year on year, while more than two fifths reported higher profits.

However, just 16 percent of independent leaders say they feel confident about their business’ prospects, and only 24 percent of single-site operators increased their revenue in 2025.