A prominent London pub has sparked controversy by implementing a £2 surcharge on pints ordered after 10pm as part of a surge pricing policy, without listing the price change on the menu.
The O’Neills branch on Wardour Street, Soho has been raising its drink prices every evening, resulting in customers paying up to £9.40 for a pint.
This policy has drawn accusations from consumer experts who claim the chain is exploiting customers by not properly advertising the price hike.
O’Neills, an Irish pub chain with around 40 locations, charges £7.40 for a pint of Brewdog IPA during the day and early evening. But after 10pm, the price jumps to £9.40.
And the surge pricing extends beyond draughts. A 500ml bottle of Budweiser rises from £6.05 to £8.05, while the price of tonic water increases by 46 per cent, from £2.15 to £3.15.
These price changes are not listed on the menu. The only warning of the change is written on an A4 notice at the end of the bar, which reads: “We operate a variable price list in this venue.”
The introduction of surge pricing aligns with a licensing requirement for more security staff and the use of plastic glasses in the evening, a policy implemented in 2022. Surge pricing during busy periods has become a common tactic in the hospitality industry, with Britain’s largest pub chain, Stonegate, applying a 20p surcharge during peak weekend trading.
Scott Dixon, a consumer rights expert, accused the pub of creating “underhand” pricing policies intended to mislead the customer into buying expensive drinks.
“Pubs and venues ought to display clear pricing and notices so consumers can make an informed decision before they enter into a contract to buy drinks,” he told The Telegraph.
“They cannot simply post an A4 piece of paper in an obscured location. It’s immoral and will rightfully put customers off.”
Not all O’Neills branches in London adopt the same dynamic pricing policy. Locations such as King’s Cross and Carnaby Street do not implement this practice.
A staff member at the Wardour Street branch erroneously attributed the surge pricing to a licensing stipulation, saying, “We have it in our licence; it changed two years ago to prevent binge drinking”.
But Westminster Council have since confirmed that drinks prices are not regulated under their late-night licensing policies.
The Wardour Street O’Neills is one of the largest sites operated by Mitchells & Butlers, the parent company. The chain justifies the higher operating costs at night, citing the need for door staff, which are passed onto customers.
A Mitchells & Butlers spokesperson told The Independent: “Most hospitality businesses and retailers deploy a form of dynamic pricing, but this means that prices can both rise as well as fall through tactical discounts being offered in the form of time-limited promotions and fixed price menus.
“Dynamic pricing varies on a site by site basis as it reflects the local market conditions, but temporary price increases tend to reflect the need to offset additional costs such as at times when door security is required.”
