On the rocks

Think tank: Adam Smith Institute

Author(s): Sam Bidwell; Mimi Yates

April 30, 2024

This report from UK think tank the Adam Smith Institute looks at London’s nightlife crisis.

London’s nightlife is a great national asset, which generates £46 billion for our economy, and helps to cement the city’s global reputation.

Beyond a direct financial contribution, the U.K. night-time economy acts as a catalyst for secondary spending across transportation, security, and food services.

For many Londoners, the opportunity to eat, drink, and socialise with friends, colleagues, and loved ones is a large part of the city’s appeal.

However, due to ever-higher costs, restrictive regulations, and broader political mismanagement, the night-time economy is struggling to recover post-Covid, and many establishments closing their doors for good. The Night Time Industries Association (NTIA) estimates that 3,011 pubs, bars, and nightclubs have closed across London since March 2020.