Rising costs keep restaurant menus expensive into 2026
Menu inflation is expected to settle near the historical 2%–3% range.
As of early 2026, restaurant and takeaway prices remain high, according to a RaboResearch report.
Operators continue to face pressure from rising costs and potential food price increases, forcing them to balance maintaining profit margins with keeping menu prices acceptable to customers.
Many are adjusting through strategies like revising menus, reducing portion sizes, and running targeted promotions.
Looking ahead, if input costs stabilise and competition for customers grows, pricing is expected to focus on perceived value, with menu price increases likely easing toward historical levels of 2%–3% annually.
Still, the report noted that ongoing wage and food cost pressures could keep consumer prices in the sector volatile, a trend that persisted through the end of 2025.
