8% year-on-year growth recorded in contract catering sales


Between April and June 2025, contract catering sales climbed 8% compared to the same period last year, outperforming much of the wider hospitality sector.

The figures come from the Catering Tracker, produced by CGA by NIQ, Bidfood and UKHospitality. They use sales data from leading operators including Sodexo UK, BaxterStorey, Compass UK and Elior UK.

Since mid-2021, the contract catering sector has recorded growth in every quarter. The trend has continued this year, with a 9.3% increase in outlet numbers and a 7.9% rise in MAT sales—measuring the past 12 months against the previous year.

Karl Chessell, director - hospitality operators and food, EMEA at CGA by NIQ, said: “Contract catering has staged an outstanding comeback from the widespread closures of Covid, and near-double digit growth in both sales and outlets is testament to its resilience and innovation.

“It is even more impressive in the context of challenging and high-cost trading conditions that have sapped the confidence of businesses and consumers alike. Inflationary pressures are unlikely to ease soon, but caterers are likely to continue to be among the standout performers of the sector for the rest of 2025 and beyond.”

Debra Morrell, business development controller for B&I at Bidfood, said: “Encouragingly, the past couple of months have shown strong signs of recovery, supported by an increase in the number of sites and stronger activity in the private sector. This resilience and adaptability are reassuring. However, with further inflation likely, consumer confidence still fragile, and the Autumn Budget approaching, it will be vital for operators to continue demonstrating that they can offer value compared with the high street.”

Kate Nicholls, chair of UKHospitality, said: “Contract caterers continue to perform strongly and this quarter’s excellent growth in both sales and outlet numbers is clear proof of the demand for the high-quality service the sector provides.

“It’s critical we see action from the Government to reduce costs at the Budget this autumn to support contract caterers and stop the sector being taxed out.”