Patients and NHS staff using the Costa coffee outlet in Newcastle's Royal Victoria Infirmary (RVI) are paying more for their drinks than customers in the chain's nearby Northumberland Street branch, less than two miles away.
And the coffee giant has been slammed for the hospital 'surcharge', with campaigners accusing the company of taking advantage of its 'captive customers' inside the hospital's Leazes Wing.
However Costa, which has 94 concessions in hospitals throughout the UK, defended the price difference, saying it was set by its commercial partners and reflected the cost to run the cafe in the hospital, which has around 138,000 patients every year.
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It costs £3.05 for a small latte or cappuccino at Costa’s branch in Northumberland Street, Newcastle, and £3.35 for a medium one, but down the road at the RVI, the same drinks will set you back £3.15 and £3.45 respectively, according to a Sun on Sunday investigation.
The disparity was blasted by Dennis Reed, director of senior citizens' campaign group Silver Voices, who said that the extra charges were unfair as those in the hospital were "captive customers".
“They know with long waiting times for patients and their relatives, they have captive customers who need refreshments, so they slap on a hospital surcharge,” he said.
Costa admitted that pricing across hospital sites was higher than on the high street, with average pricing currently around 10p more per drink, but said they still offered good value.
A Costa Coffee spokesperson said: “We work with a number of partners to deliver Costa Coffee in different operating environments, including hospitals. Our partners set their pricing and it is not uncommon to find that some Costa Coffee products are priced higher, reflecting the unique locations and operating costs associated with those locations. On average a Costa Coffee store in a hospital will charge 10p more for a crafted drink. We regularly review prices with our partners to ensure they remain competitive in the relevant retail environment, offering quality and value."
A spokesperson for One Retail, part of Compass Group, which manages the site at the RVI, said: "We always work hard to provide value for money and compete with the high street where we can. Our pricing reflects the more limited footfall of our site compared to a high street outlet. We also have a range of meal deals in place, to provide both choice and value for our customers."
Costa has opened up sites across many NHS trust sites in the last decade or so, which were kept open during the UK-wide lockdown as all of its other sites closed. The RVI's pricing was not unique, with St Richard’s Hospital in Chichester, West Sussex, also charging 10p more than at the Costa branch on East Street in the city centre.
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