Vacancies remain 5,000 higher than pre-pandemic levels of 93,000. Its labour market overview also showed that annual growth in total earnings was 4%. UKHospitality has urged the Government to introduce business-friendly recruitment measures at the Budget and cautioned against excessive minimum wage increases.

Kate Nicholls, chief executive of UKHospitality, said: “As a sector we’re continuing to drive down vacancies, but the Government can make that easier in the Budget. Supporting enhanced back-to-work schemes and delivering on the manifesto commitment to reform the Apprenticeship Levy will help the sector recruit and reduce economic inactivity. 

“Making the tax burden for hospitality businesses more sustainable is essential at this Budget, which is why we’re urging the Chancellor to introduce a lower, permanent and universal hospitality multiplier to avoid a business rates cliff edge that would pile more costs onto an already struggling sector.”

UKHospitality is the trade body for hospitality, representing every corner of the sector. They represent more than 130,000 venues, from pubs, bars and restaurants to hotels, indoor leisure and contract catering.