Wagamama is contemplating raising prices on its menu in the UK next year, according to reports. The pan-Asian restaurant chain is considering implementing “selective price increases” due to expected higher costs in labor, food and beverages, and rent. The Times has indicated that Wagamama foresees a 4% to 5% increase in labor and food and beverage costs, and a 2% to 3% rise in other expenses like rent (excluding energy costs).
This potential price adjustment coincides with the upcoming 4.1% increase in the minimum wage in April 2026, with hourly rates set to reach £12.71 for workers aged 21 and over. Employees aged 18 to 20 will witness an 8.5% wage boost to £10.85 per hour, while those aged 16 and 17 will have a minimum wage of £8 per hour.
In another development, National Insurance contributions for employers escalated from 13.8% to 15% in the 2024 Budget, adding to the financial strain on businesses. Wagamama is reportedly planning to save £8 million next year by optimizing its operations. A company spokesperson mentioned, “We have intentionally refrained from significant price hikes and have instead enhanced our customer offerings. Our strategic investments have led to improved customer engagement, surpassing industry performance in dine-in casual dining.”
The Mirror has reached out to Wagamama for further comments, following the disclosure that the company shed over 2,000 jobs in its latest fiscal year. The reduction in headcount from 17,542 to 15,468 was largely attributed to the sale of Frankie & Benny’s in late 2023.
According to the latest accounts filed with Companies House in October 2025, the Restaurant Group reported a pre-tax loss of £32.2 million for 2024, up from £19.6 million in 2023, despite a revenue increase from £824 million to £868.1 million. The board’s statement in the accounts noted, “In 2024, we observed a gradual decline in food inflation in the UK market, although wage costs continued to rise due to a substantial increase in the National Minimum Wage. We remain focused on delivering quality food and service, managing costs efficiently, and investing in new technologies to enhance customer experiences, such as our Wagamama loyalty scheme, ‘soul club’.”