Difficult summer for Brussels hospitality industry

Despite a slight increase in the number of hotel stays, summer proved a difficult season for Brussels’ hospitality sector, according to the sector federation Horeca Brussels.

Although more international tourists visited the capital, fewer Belgians went to cafes or restaurants, Bruzz reports.

Comprehensive figures will not be available until the current quarter closes at the end of September, but the initial trends for the past two summer months seemed positive for hotels at least. The number of hotel stays is said to have increased compared to the summer of 2024, and more people are working in the hospitality industry than last year.

But Horeca Brussels said that these statistics paint a distorted picture.

“Based on these two elements, you would think it was a good summer, but that’s wrong,” said David Debin, vice-chairman of Horeca Brussels.

“For example, we saw more bankruptcies than new businesses opening. Overall, we feel that the situation is negative.”

Debin points to falling profit margins as the culprit behind the increasing number of bankruptcies.

"Labour costs continue to rise as do energy and raw materials, while sales prices have hardly changed," he said. "Many establishments are no longer profitable, and then you get more bankruptcies than before."

Horeca Brussels sees no obvious solution to the declining profit margins.

“Either you change the concept and compromise on quality or quantity, or you raise prices, but that’s very complicated,” Debin added.

“There are still many establishments in Brussels, and competition remains fierce. We have to be creative, but there is no miracle cure.”

Something the sector is more positive about is the increase in the number of overnight stays, mainly due to the increased number of international tourists. But even that optimism is tinged with some harsh facts. “There are more tourists, but they’re spending less,” Debin said.

The restaurant industry in particular notices that people are opting for only a main course and skipping extras such as an aperitif, starter or dessert.

Apart from profitability, Horeca Brussels sees a few other minor factors that contributed to a less successful summer: weather, changes to school holidays and public safety concerns.

“We hear from our customers that there is a feeling of insecurity and that people are increasingly hesitant to come to Brussels,” Debin said.

“International tourists are still coming for the time being, but we hear from Belgian visitors that they are avoiding Brussels because of the situation and prefer to go to other cities such as Leuven or Namur.

"In the past, three-quarters of my clientele were Belgian and the rest were international tourists. Today, it's more like 50:50. In addition to the feeling of insecurity, parking and mobility policies and the lack of cleanliness are also causing people to prefer not to come to Brussels any more.”

Horeca Brussels is cautiously optimistic about autumn and winter.

“For us, the period from September to December is the best part of the year,” Debin said.

“There’s a lot going on and the Christmas market attracts many tourists, but everything depends on the climate and the security situation. We don't hold many cards ourselves, but for us it’s no longer about making a profit. Above all, we want to survive.”