Tast Catala, the renowned Manchester restaurant co-owned by Manchester City manager Pep Guardiola, has announced its permanent closure after seven years of operation. The establishment, celebrated for bringing authentic Catalan cuisine to the UK, cited “exceptionally challenging trading conditions and increased costs” as the primary reasons for its decision to cease trading this Saturday.

The closure highlights the significant pressures currently confronting the UK’s hospitality sector. Industry bodies and political figures have swiftly pointed to a confluence of economic factors, including soaring operational expenses and recent government fiscal policies, as contributing to a wave of business failures across the country.

UKHospitality, the industry trade association, voiced deep concern over the situation. Allen Simpson of UKHospitality told the press that Tast Catala’s closure serves as a stark illustration of how escalating cost pressures are compelling venues to make the difficult choice to shut down permanently. He specifically mentioned the impact of successive government budgets that have dramatically increased employment costs and are set to send business rates soaring.

Shadow Business Secretary Andrew Griffith echoed these sentiments, criticising the Chancellor’s latest Budget for its adverse effects on pubs and restaurants. Employing a football analogy, Griffith stated that businesses were already “one-nil down on higher wage costs,” and the hikes in business rates appear to have “sealed their fate,” underscoring the severity of the financial strain on the sector.

Tast Catala, which translates to ‘Catalan taste,’ first opened its doors in 2018. It was launched by the independent restaurant group Fazenda, with significant investment from Pep Guardiola, Manchester City chief executive Ferran Soriano, and former director of football Txiki Begiristain. The venture aimed to introduce the culinary traditions of Guardiola’s home region, bringing in world-renowned Catalan chef Paco Pérez to lead the kitchen.

Over its seven years, Tast Catala established itself as a vibrant culinary destination in Manchester. It frequently served as a venue for Guardiola to entertain new Manchester City signings and club executives, hosting prominent football figures such as Erling Haaland, Kevin De Bruyne, and Mikel Arteta, further cementing its status within the city’s social fabric.

The broader economic landscape has presented formidable challenges for the hospitality industry. Businesses have grappled with persistent inflationary pressures, particularly concerning food and energy costs, which have squeezed profit margins. Additionally, supply chain disruptions and ongoing labour shortages have added to the operational complexities.

Government fiscal policies, including increases in the national minimum wage and adjustments to business rates, have also significantly impacted the sector’s financial viability. While intended to support workers and local services, these measures have been criticised by industry leaders for placing an unsustainable burden on businesses already struggling to recover from the economic fallout of the pandemic.

In response to these mounting pressures, UKHospitality has urged the government to implement urgent supportive measures. The organisation specifically advocates for an increase in the business rates discount for hospitality venues to a maximum of 20 pence, arguing that such intervention is crucial to prevent an acceleration of business closures and job losses across the country.

In its poignant Instagram farewell post, Tast Catala expressed profound gratitude for the unwavering support of its shareholders and the dedication of its team throughout its journey. The restaurant conveyed immense pride in having been able to share a piece of Catalonia, their beloved country, with the people of Manchester, fostering memorable moments around the table.

The closure of Tast Catala serves as a high-profile example of the precarious environment facing the UK hospitality industry. It underscores the ongoing debate about the balance between economic recovery, government policy, and the survival of cultural and culinary institutions that contribute significantly to local economies and community life.

The restaurant concluded its statement by inviting patrons for a final celebration of its legacy before its last service on December 20, 2025, reaffirming its commitment to great food, great people, and shared moments until its final day.

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Keywords: Tast Catala, Manchester restaurant closure, Pep Guardiola, UK hospitality sector, business rates, economic challenges, Paco Pérez, Manchester City