More than 350 have called time in the first three months of the year as landlords feel the effects of war on top of higher taxes and rocketing worker costs
Three pubs are shutting every day as Brit bars are blitzed by the Iran war. More than 350 sites closed in the first three months of the year, according to a report from consumer intelligence group NIQ.
That equates to an average daily shutdown of 3.4 pubs and restaurants.
It follows a wave of closures across Britain in recent years as landlords faced higher taxes and soaring worker costs.
The number of pubs and restaurants dropped for the second quarter in a row, NIQ data shows, with 382 sites shutting between October and December.
It means Britain has lost 0.7% of its total number of licensed premises in the past six months.
Only 98,609 sites are left across the nation.
NIQ director Karl Chessell said many businesses were ‘nearing breaking point’ as the Iran war risks an energy crisis that will squeeze household budgets and further drive up landlords’ costs.
He said: “Soaring costs have taken a heavy toll on hospitality in the first quarter and forced hundreds of businesses to close, with distressing impacts for the operators and employees concerned.
“Confidence among leaders and consumers alike is low, and geopolitical crises are likely to cause more damage in the months ahead.”
A total of 86 pubs closed in the first three months of the year. The effects of the war have left bar bosses already struggling with higher business rates and inflation-busting minimum wage rises facing a perfect storm.
In her Budget Rachel Reeves announced Covid-era business rates relief would end for hospitality firms in April having previously been scaled back from 75% per cent to 40%.
Staff costs also jumped after Labour pushed up the minimum wage by 6.7% per and 4.1% over the last two years and increased employer National Insurance contributions.
Locals now face a further squeeze from the energy crisis caused by the conflict in the Middle East that has choked off oil and gas supplies through the Strait of Hormuz.
Economists have warned the war will push up household energy bills by 15% in July and another 3.5% in October which is expected to force many families to cut back on spending.
NIQ said there had been a 1.2% drop in the number of bars in Britain while the number of casual dining sites had fallen by 0.9%.
Mr Chessell added: “Without targeted support more closures can be expected over the rest of 2026.”