Fast-food anyone?

Increase on fast-food

Despite the fact there's been a recession going on, the economic situation has proved to be a boom for fast-food places as more people turn to cheap and convenient food.

According to the Financial Times, at a time when restaurant chains have been hit by higher operating costs and lower spending among consumers, forcing them to scale back growth plans, fast food establishments have cashed in.

Fast-food establishments have welcomed their new customers with open arms, and taken advantage of lower rents to firmly let their presence on the high street be known.

Rise in chains

According to the Local Data Company, which monitors 705 town centres across the UK, the number of fast-food chains in the top 10 UK cities rose 8.2 percent in the year to October, after a 6.6 percent increase the previous year. The average street has seen a doubling of their fast food shops.

Central London posted the biggest gain, adding 73 units to bring the number of outlets to 847. It was followed by Manchester and Glasgow, which added 16 and 13 respectively bringing their number of fast-food restaurants to 74 and 94.

Waistline

As soon as you hear the words 'fast-food', you automatically think of the effect it could have on your waistline, yet apparently the growing popularity isn't all bad news.

Of those that increased in popularity, some were among the more healthy sandwich sellers on the high street, such as Prêt a Manger and Eat.

The biggest expansion has come from Subway, which has increased its stores across all town centres and shopping centres by more than a quarter.

Domino, which operates a franchise business, and KFC were among the traditional fast-food sellers to have also expanded their store presence although McDonald's and Burger King have done little or even shrunk their numbers.

Stephen Broome, leisure analyst at PwC, the professional services firm, said the numbers were in line with rising demand for what was deemed "healthy fast food."

"People still want their burgers and chips . . . but more and more people are understanding the need for a balanced diet and that is stimulating the demand for healthier fast food," he said.

Independent food operators

While many of the larger chains have been able to take advantage of the problems on the high street to secure prime locations at cheaper rents, the increase in healthier fast food offerings can also be attributed to a rise in the proportion of independent food operators opening over the past year.

Analysts suggest that more people have launched new businesses, including independent cafés and sandwich shops, having lost jobs or closed businesses. The percentage of independent fast-food chains - those with fewer than five stores - has increased to 46.8 percent of the market, from 44.6 percent.

But it looks like the fast-food establishments are going to have a battle on their hands as the restaurants start to take measures into their own hands. Two-for-one meal offers at mid-price chains such asStrada or Pizza Express are now a frequent fixture in newspapers and magazines, while a growing number of restaurant operators are seeing home delivery as a way to reduce losses.

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