From October this year, all UK hospitality businesses will have to distribute 100% of customer tips
A new law could see the average price of a pint soar over a fiver, according to research into the impact of service charges at restaurants.
Researchers found 22% of businesses already charge a tip while 52% plan to add a charge of up to 10% for the service, pushing the current average price of £4.75 for a pint to over £5 in some places for the first time.Those living in East Sussex, Northern Ireland and the capital could bear the brunt of these changes. In London, a pint will cost you on average £7.15 with a 10% tipping charge, followed by Belfast and Brighton and Hove .
and service charges to staff, with no exceptions other than standard-rate tax deductions, under the Employment Act 2023. When asked how much it would cost to give staff 100% of tips, one in five businesses claimed it would increase their annual costs by £60,000-£360,000.
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