The Butcombe Group plans to expand its pubs with rooms by converting 20 of its locations into Butcombe Boutique Inns.
The pub operator and brewery, previously known as Liberation Group, stated that its accommodation division “continues to mature and increase its value” now representing 14.5% of its UK managed sales.
Butcombe manages more than 120 pubs and inns, offering over 400 rooms across locations from London’s Mayfair to St Aubin, Jersey.
Last year, it launched Butcombe Boutique Inns to enter the premium accommodation market and has since developed 11 inns.
Six of these inns have already opened, while four are currently being upgraded, including the Methuen Arms in Corsham, the Lion at Winchcombe, the Castle Inn in West Lulworth, and the White Horse in Chilgrove. The group believes there is potential to expand the format to 20 inns.
Butcombe’s ambitions in the accommodation sector follow an 11.1% like-for-like sales increase reported in Q1 2025. Food sales rose by 10.3%, drinks sales climbed 13.3%, and the expanding rooms business grew by 5.3%.
The recent stretch of warm spring weather further boosted sales, with 40% of Butcombe’s covers now served outdoors.
For the full year ending 25 January 2025, Butcombe reported revenues of £149 million, up from £144.4 million the previous year. Its managed pub segment performed especially well, delivering a 7.8% like-for-like revenue increase.
During this period, the pub group enhanced its breakfast offerings—its fastest-growing mealtime—and improved its all-day brunch, small plates, sandwiches, and classics menu.
Jonathan Lawson, chief executive of Butcombe Group, said: “We are delighted to report another strong year across all divisions of Butcombe Group. We have delivered record revenues and sector-leading like-for-like growth of 7.8% in our managed pubs, a clear indication of our continued operational strength and effective strategic investments. This result is especially pleasing considering the strong comparatives we faced against last year.
“While we remain mindful of the ongoing inflationary pressures and changes to National Insurance contributions that impact the broader hospitality sector, we are confident in our strategy. Our continued focus on premium segments, operational efficiencies, and customer-centric innovation positions us strongly for sustained EBITDA growth and margin enhancement through the rest of the year.”
