UK restaurants face margin squeeze from GLP-1 drugs

Customers are increasingly dropping the menu items that generate the highest profits.

Britain's restaurant operators face a margin squeeze from the growing use of weight-loss drugs even where customer numbers hold steady, as new research shows users are cutting the highest-margin items from their orders first.

Around 32% of GLP-1 users are drinking less, with 45% eating smaller portions, whilst 39% are cutting back on snacks, a survey by RSM UK found. Over a quarter, 28%, eat out or order takeaway less frequently.

"Restaurants achieve higher margins on starters, desserts and alcohol," said Saxon Moseley, head of leisure and hospitality at RSM UK. "If consumers are drinking less and skipping courses, the squeeze on the bottom line will be particularly acute even if cover numbers don't change significantly."

Separate research from IGD, based on qualitative interviews with current GLP-1 users, found that reduced portion sizes were the most commonly reported change in behaviour. Users described ordering starters instead of mains, sharing dishes, choosing children's portions and ordering fewer drinks and courses.

Shannon Goldsmith, senior insight analyst at IGD, said operators needed to respond to two simultaneous shifts.

"Consumers are becoming more selective about the food they eat, while also rethinking social occasions that traditionally revolved around food and drink," she said.

IGD reported that 8% of UK adults have personally used weight-loss medications as of May this year, up from 3.1% in June 2025, with 6% currently using them. RSM placed current or past usage at 19% of all consumers surveyed, rising to 36% amongst Gen Z and 30% amongst millennials.

RSM's Moseley said the pressure on operators was set to grow. The first daily oral weight-loss pill launched in the UK this week, he noted, adding that operators would need to adapt quickly to preserve margins.

Both studies found users placing greater emphasis on protein and nutrient-dense options, with IGD noting that users actively research menus before visiting venues to check calorie counts, substitution options and nutritional information.

RSM found that 29% of GLP-1 users said they would spend more on healthier food options.