There’s one place in the UK where pub numbers are growing. This is why.

The pub scene in Wales continues to thrive, with three new venues opening since January, despite closures sweeping through the rest of Britain.

The growth has been dubbed a “much-needed ray of light” for the hospitality industry by the British Beer & Pub Association. An average of two pubs are closing every day in Britain, and a quarter of UK hospitality businesses are losing money, as financial pressures mount. 

According to Welsh pub owners themselves, the secret ingredient to defying the trend is turning away from tradition. However, whether a number of stand-out venues can be enough to turn the tide on closures remains to be seen.

The number of pubs in Wales continues to climb

The number of pubs in Wales has increased by three since January. In the same time period, Scotland has lost 41, and the south-east of England has lost 26, according to the BBPA’s Q1 2026 data. 

Abbie Nelson, landlady of The Nelson in Rhyl, Denbighshire, is responsible for one of these success stories. She opened the pub in May this year, taking over a previous pub that previously focused on the night-time trade.

Nelson tells the BBC that a change of tack is needed in order to keep up with the evolving industry. While there is still a solid customer base of spirit drinkers, younger generations are bringing different drinking habits with them, and for many, a pub trip is just as much about the “Instagram aesthetics” as the drinks on offer.

Pivoting away from a purely drinks-based offering, Nelson’s venue has a family focus: “Now we do barbecues, free food, we have entertainment on.”

Co-owners of the Pig & Swill in Cardiff, another new pub in Wales, have also appeared to defy trends by branching away from the traditional. Dwyer and his business partner Andy Aston already run Hiraeth, a Michelin Guide-listed restaurant on the other side of the road known for its focus on quality local produce, and saw an opportunity to complement the venue rather than compete with it.

Rather than a straightforward boozer, the Pig & Swill leans into the same elevated approach that’s worked for Hiraeth, offering craft beer alongside a more involved menu of small plates and nibbles than typical pub grub.

“Business has been really good since we opened a few weekends ago. We are really blown away by the positive reception and how the community has responded to us,” Dwyer told The Guardian.

However, despite these small wins, it doesn’t mean the wider hospitality sector is thriving in Wales. David Chapman, executive director of UK Hospitality Cymru, recently said the country’s restaurants and hotels are still struggling overall, with restaurant and hotel closures continuing to outnumber openings as business rates soar.

Is out-of-the-box thinking enough to save the UK’s struggling hospitality industry?

Recent figures highlight a stark reality for the sector. A total of 161 pubs closed their shutters in Britain in the first quarter of 2026, as energy bills, regulatory costs, and rising taxes continue to squeeze margins for pub owners. 

Business rates remain one of the biggest flashpoints. The 40% relief that cushioned the finances of many pubs through 2025-26 was discontinued at the end of March, while new revaluation methods were implemented. This left most operators relying on a smaller 15% discount, instead, with no guarantee it would be extended beyond this financial year. Others saw their rates go up significantly. 

Others, like celebrity chef Tom Kerridge, argue that lowering VAT rates in line with our European counterparts could be the winning ticket to easing the pressure. Kerridge’s #VATsTheProblem campaign has already gathered hundreds of thousands of signatories since its launch, becoming one of the sector’s most popular grassroots movements to date.

Not everyone believes the answers lie in Westminster, however. TV Presenter and pub owner James May believes the industry needs to look closer to home.

“The pub will be saved by the pub, nothing else. It would be nice if we could have lower rates and lower duties and so on, but that’s not really the issue. The issue is the quality of pubs themselves,” May tells LBC. 

Whether or not these measures materialise, and whether they’d be enough to tackle the closure rate remains to be seen. What is clear is that pub owners can’t simply rely on policy changes to keep the taps flowing. As Wales’s own growth suggests, remaining agile and adapting to shifting customer expectations could matter just as much as tax reform.