Peter Heath, founder, Venue Performance, reports on a headachy start to the year, with signs of a return to health.
“We are still seeing something of a hangover after the back end of last year, where the election threw in a lot of uncertainty, then we had the Budget, which caused a lot of consternation and, we’re about to see, an increase in costs in our sector.
“So there was a slowdown in the booking window, while everyone husbanded their cash and subsequently things have been a little bit slow in January and February, but the good news is that they're picking up a bit now: Q2 is looking better and Q3 is looking great.
“The issues around booking windows were not surprising when you consider that big events take a little bit of planning and they take a little bit of cash. So it's important that they can be done in advance. So when they weren't being done, businesses were in paralysis. Now we are seeing movement, we can move on from last year’s jitters.
“Rates are continuing to trickle up, driven by inflation costs and employment and National Insurance. Everything’s going up but, while profitability is a challenge, venues are largely able to pass costs on. But there's still growth; that’s the main thing. There's still plenty of growth.”
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