According to Savills, 2025 was another record year for the food & beverage sector (F&B) in Glasgow, with 38 new openings in the city centre totalling 87,000 sq ft of restaurant accommodation. The firm notes that this is the highest volume since 2018, and 10% more than 2024’s figure.
The biggest change last year was a sharp increase in the number of transactions to national or international F&B brands. In fact, Savills figures show that 25% of these were for larger operators compared with 10% in 2024 where the market was dominated by independent brand openings. For instance, both Danish run Sticks’n’Sushi located on George Square, and iconic Indian restaurant chain Dishoom situated on Nelson Mandela Place, opened their doors in Glasgow last year.
Glasgow continues to be attractive to F&B operators with the fourth largest catchment population of any UK city outside of London and the largest in Scotland, according to Geolytix. It has also retained its status as the top shopping city in the UK outside of London, with MyTraffic reporting that Buchanan Street now has an annual footfall of 17 million people, making the neighbouring thoroughfares highly sought after F&B locations. This, along with its significant student population and high hotel occupancy, has made it a popular choice with operators targeting a range of customer groups.
The city also remains a profitable market, with a number of national operators with prime sites putting Glasgow in the top 10% of their UK bar and restaurant portfolios, measured by both turnover and profit margin. Savills has even seen some successful brands report turnover in excess of 40% above pre-Covid levels. Although this turnover growth has been essential for occupiers to offset sharply rising operational costs, it is still a clear signal of the underlying strength of the local market.
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Looking ahead, the biggest talking point remains this year’s business rates revaluation, which has for some bar operators proposed significant increases of as much as 900%. What’s more, the relief announced as part of the Scottish budget will not be enough to stop this impacting profitability. However, despite ongoing challenges, Savills is presently tracking as many as 15 unsatisfied occupier requirements looking to open in Glasgow city centre, which will give landlords optimism that well located properties will continue to attract tenants.
John Menzies, director in the Scottish retail team at Savills, comments: “Overall, occupier demand for the very best F&B sites in Glasgow will continue to be strong in 2026, but we are unlikely to see the same level of rental growth. Prime F&B rents increased by approximately 15% in 2025 to £50 per sq ft, but we do not expect to see this continue as operators look to absorb the increasing tax burden on this year’s rating revaluation. Consequently, we will also see many operators looking to take on cost effective fitted space.
“On a more positive note, we expect to see public realm improvements make a difference to occupier decision making. This includes the unveiling later this year of the newly renovated George Square which we anticipate will attract more F&B brands to the district, and an improving picture on Sauchiehall Street where the growth of student residential development is resulting in renewed interest from quick service restaurant and leisure operators.”
