Hospitality venues in Birmingham report mixed impact of Commonwealth Games

The Commonwealth Games is having a mixed impact on hospitality businesses, despite the influx of tourists and competitors bustling around Birmingham.

The owners of two restaurants close to the city centre said trade was quiet but venues around the stadiums have seen a boost in business, with some hotels reporting a 50% increase in occupancy compared to last year.

The Games are taking place between 27 July and 6 August and will welcome 6,500 athletes from over 72 Commonwealth nations.

The event has been described by the Department for Digital, Culture, Media, and Sport as “the most significant investment in a major sporting event since the London 2012 Olympic and Paralympic Games”.

Sam Morgan, founder of About Dining, owns three restaurants in Birmingham city centre: Craft, Divide and 8. He said that many of the events are held in stadiums “spread all over the West Midlands region”, so the central district has had comparatively less footfall.

He said: “The majority of hospitality in Birmingham thrives off the corporate trade [but] the corporates are going nowhere near the city. They’re avoiding it because of the Commonwealth Games.”

The national rail strike on 30 July also contributed to a wave of cancellations at his restaurants, and Morgan said customers “don’t want to drive in” to the city due to the Games.

He added: “The Commonwealth Games is not doing what everyone assumed it would. Everyone said that in the 2012 Olympics, London city centre hospitality would be booming. It wasn’t, because these are customers who will grab a burger and a bottle of coke and a beer, but they’re certainly not going to be sitting in a restaurant and ordering a four or five course meal. It’s just not what they’re there for.”

Andreas Antona, owner of the Michelin-starred Simpson’s restaurant, said the Games had not had a “big impact” on business.

He told The Caterer: “Most ticket holders are coming to Birmingham, watching the events, maybe grabbing some street food and then heading home - they aren’t here for Michelin-starred dining but I’m confident we’ll pick up some business from the athletes' families.”

Wider impact

In contrast, casual dining restaurants near the stadiums have seen a boost in business.

A spokesperson for the Resorts World leisure complex, which is home to bars and restaurants such as Friday’s, Nando’s, and Five Guys, said many food and beverage outlets had seen a “spike in footfall and bookings” prior to the start of the event.

Resorts World is located within walking distance from the NEC campus, which is hosting five sports and two Para sports events during the games.

Hotels in Birmingham have also benefited from the growth in tourist numbers around the games.

Lorna Saunders, group revenue and corporate account manager at the Moor Hall Hotel and Spa (pictured above) in Sutton Coldfield, said: “We have seen a significant demand for bedrooms over the Commonwealth Games. 50% of rooms were booked more than one year out. We have 25% of bed stock allocated to the games.”

Scott Harper, chief operations officer at Malmaison & Hotel du Vin, also reported that occupancy at Malmaison Birmingham “has surged on prior years”, equating to revenues at 190% of 2021 figures.

Moor Hall added that demand is up 20% compared with post pandemic summers and 10% up on 2019 figures, while occupancy at Malmaison Birmingham is up 50% from 2021 and 7% from 2019 rates.

Antona said he was pleased the Games organisers had “got it right” by portraying Birmingham as a “young, diverse city". He added: “The pride in Birmingham and the legacy of hosting the Games will have a long-term benefit.”

*Image: SMC Photo / Shutterstock *