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12th March 2025

London diners increasingly eating out at restaurants despite rising costs

Written by: Edward Waddell
A survey released by Square has found eating out at restaurants remains an important social activity despite rising costs with 44% of respondents saying the amount they dine out has increased over the last 12 months, rising to 60% across Millennials.

Alongside this, 49% say the amount they are willing to spend when they dine out has increased over the last 12 months, rising to 60% across Millennials. The top London boroughs for eating out are Hammersmith & Fulham (5.5 times per quarter), Camden (5.4), Sutton (4.8), Wandsworth (4.6), and Islington (4.6).

When it comes to getting customers to return to a restaurant, the most important factors are price and affordability (53%); consistent quality of food (52%) and service quality (47%). Nearly half (46%) of respondents say they wouldn’t dine at a restaurant if there was a maximum seating time.

Matt Gillet, head of UK business at Square, said: “The outlook for restaurants is positive, with London diners choosing to dine out more than last year. But there are certain factors for restaurant owners to consider as they continue to navigate economic headwinds.

“We know that most food and beverage businesses are optimistic about the future of their business, with plans for growth and expansion, but they need to prioritise evolving customer habits and tap into the needs of different demographics to continue surviving against rising costs of food, supplies, energy and staff.”

Sustainability is coming up as a key factor to consider, with half (51%) of Millennials saying they choose a restaurant based on whether it is farm-to-table, compared to only 17% of Boomers who say the same. Diner habits are changing with 48% saying they love the idea of a supper club as a way to spend an evening.

The research was conducted by Censuswide, with 1,005 respondents in London who spent £25-£35 per head or more for a main course, drink and dessert or side at least once a year between 25/02/2025 and 03/03/2025.