Restaurants raising prices 'to keep doors open'

Robert HallChannel Islands
News imageBBC Zara pictured with the Pavilion restaurant visible in the background, though it is slightly blurred. Zara has her blonde hair in a ponytail and is wearing a white collared shirt. BBC
Zara Kramer of The Pavilion said restaurants were dealing with rising costs "across the board"

A restaurant owner says it is becoming "more and more difficult to operate and make money" in Jersey due to rising costs.

Zara Kramer, of The Pavilion in St Helier, said independent restaurants were "the soul of the community" and feared some of them may have no choice but to close.

Her restaurant recently posted a breakdown of its costs online in a bid to be open with customers.

A spokesperson for the Government of Jersey said it was "focusing on practical measures to help businesses", but also acknowledged "inflationary pressures" were continuing to challenge businesses and households.

'Across the board'

In a post online, the Pavilion wrote: "Like many independent restaurants, we're facing rising costs across the board.

"From our local, quality ingredients to utilities, staffing, insurance, licensing, and even rent.

"We've held off for as long as we possibly could, but the reality is that the numbers have to add up to ensure we have a future as a business and that our team earn wages that reflect the cost of living in Jersey."

Kramer, who opened the restaurant in 2022, said a community of loyal customers had been supportive and understanding about price rises.

News imageThe Pavilion A photo of a restaurant menu written on with marker pen. The words say '52% staff, 23% ingredients, 14% running costs, 7% repairs and maintenance and 4% hopeful profit'. There are also a number of canapes in the background. The Pavilion
The restaurant posted a summary of its costs on social media

She added: "We just got to the point where we wouldn't be able to keep the doors open unless we put our prices up."

Kramer said the strain on independent businesses could have a knock-on for tourism on the island.

"Independents give the soul of the community and make people want to visit Jersey, so I think it's important to support them," she said.

News imageMuhammad sits in his restaurant; the decorated walls are visible in the background. He is wearing a white polo neck and a brown plaid jacket. He has dark brown hair and full beard. He is wearing glasses
Muhammad Usman Meghani said he worked in the kitchen of his restaurant to keep costs down

Muhammad Usman Meghani opened his restaurant Habibi Haus in October.

He said it was "quite difficult" to make a hospitality business work, adding he often worked in the kitchen of the restaurant.

"I'm working 12 to 14 hours on a daily basis... It's one of the factors enabling me to keep my costs low."

The Jersey Hospitality Association said The Pavilion's social media post reflected "the sad reality of where the industry sits as a result of huge base cost increases".

'Inflationary pressures'

CEO Marcus Calvani said base costs "must stop rising" and government decisions had created "what is quickly becoming an impossible environment to operate in".

The Government of Jersey said: "Inflationary pressures continue to challenge businesses and households.

"Jersey is exposed to United Kingdom inflation and is unable to address this in interest rates.

"However, the Government of Jersey is focusing on practical measures to help businesses, including the Better Business Grant, which is available to all employers, including independent businesses, wanting to improve productivity and skills".

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