Pub Wet/Dry GP Calculator 2025/26
Calculate blended gross profit from wet (drinks) and dry (food) sales for a UK pub. Model the difference between a tied tenancy and a freehouse, understand your combined GP% and identify your weekly EBITDA and break-even revenue target.
Key Inputs
- Weekly wet sales revenue (£)
- Target wet GP % (typically 55–65% freehouse; 45–55% tied tenancy)
- Weekly dry (food) sales revenue (£)
- Target dry GP % (typically 60–70%)
- Weekly labour cost (£)
- Weekly rent or tied tenancy charge (£)
- Monthly fixed overheads (utilities, rates, maintenance, insurance) (£)
What You'll Get
- Weekly wet gross profit (£ and %)
- Weekly dry gross profit (£ and %)
- Blended weekly gross profit (£ and %)
- Weekly EBITDA
- Weekly break-even revenue
Important Notes — 2025/26 Rates & Caveats
UK pub benchmarks 2025: wet GP typically 55–65% (freehouse); tied tenants typically achieve 45–55% due to higher supply prices from pubcos. Dry (food) GP typically 60–70%. Labour typically 25–35% of total revenue. The Market Rent Only (MRO) option (Pubs Code 2016) allows tied pub tenants to break the supply tie at lease renewal — freeing them to buy at free market prices, which can add 10–15 percentage points to wet GP.
Frequently Asked Questions
What is a typical wet GP for a UK pub?
55–65% for a freehouse; tied tenants typically achieve 45–55% due to higher supply prices from the pubco. Wet GP is the gross profit on drinks sales before labour and overheads. It is calculated as (sales revenue − cost of drinks) ÷ sales revenue × 100. Improving wet GP by negotiating better supplier terms or breaking the tie (via MRO) has a direct and significant impact on pub profitability.
What is the Market Rent Only (MRO) option for tied pub tenants?
A right under the Pubs Code 2016 for tied pub tenants to request a market rent only (MRO) lease — freeing them from the tied supply obligation at lease renewal or when a significant price increase is imposed. An MRO lease means the tenant can buy beer, wines and spirits at free market prices, typically improving wet GP by 10–15 percentage points. The Pubs Code Adjudicator (PCA) oversees MRO disputes. Tenants should seek specialist pub tenancy advice before triggering MRO.
What percentage of pub revenue should labour cost?
25–35% of total revenue is the benchmark — above 40% is typically unsustainable without high average spend per head. Labour is usually the largest controllable cost for pubs. Scheduling labour to match footfall patterns (avoiding paying for quiet periods), using a mix of full-time and part-time staff, and cross-training kitchen and bar staff all help manage labour cost percentage. Kitchen labour cost alone should typically be 20–28% of food revenue.
Related Calculators
Use the interactive Pub Wet/Dry GP Calculator
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