Expert Eye: Graham Kennedy, owner, Bells Fish & Chips, County Durham

Winning awards doesn’t protect a business from rising costs – costs that, according to Graham, must inevitably be passed on to customers

Winning the Fish & Chip Restaurant of the Year award for our Framwellgate Moor site has been an incredible honour for me, my family, and our team at Bells Fish & Chips. We’ve been in this industry for nearly 38 years, and this recognition is a tremendous boost for everyone involved. We’ve always been established and busy, but the publicity and appreciation from this award have taken us to another level.

Since the win, we’ve seen an increase in trade across all our shops, which is fantastic. Customers are eager to visit, and the press coverage has been great too. A blogger came in recently and asked to take a video of the shop, which brought home the fact that we are now recognised as the best in the country.

This year is shaping up to be just as exciting, with a major project close to my heart: installing a three-meter-tall miner’s head statue that’s going to be looking out to sea at Seaham, which is our newest site. The piece is made from weathering steel – like the Angel of the North – and was created by a well-known local artist, famous for his mining and war-themed works. I commissioned this sculpture in memory of my dad, who was a miner and who worked six miles out to sea before joining me in the business for ten years before he passed away, as well as my father-in-law, who was also a miner. But it’s not just for them – it’s a tribute to all miners, especially those who lost their lives. Seaham itself was home to three collieries within a mile, so the statue will be a fitting tribute to the community’s history.

As for the year ahead, I remain positive despite the challenges we face in the fish and chip industry. Fish prices are unpredictable, and costs are rising across the board from potatoes to staffing expenses. The key to survival is ensuring we don’t undersell ourselves. If fish prices rise by a pound, we have to increase our prices by £1.20 to allow for VAT. We have to do it and if the industry collectively does it, customers will accept it.

Currently, a portion of fish and chips at our restaurant is £13.00 while in the takeaway it is £11.30. We try to set our prices for the year but we are now having to have multiple increases because running at a loss simply isn’t an option. Our staffing costs alone are rising significantly – our accountant estimates in April our wage bill will go up by an additional quarter of a million pounds. We can’t really cut staff, because we are always tight anyway: our percentage of wages to turnover is roughly 20-25%. Ultimately, it means customers will have to share in covering these increases, just as they do in other industries.

Something I’d like to do this year is give back to the industry. Over the years, I’ve mentored and welcomed many young fish friers and new owners to our shop to show them how we operate. At this stage in my career, I want to share my knowledge and experience with the next generation.

I am a positive person and I do feel positive about the year ahead. I believe customers appreciate good food and good service, and they’ll continue to support quality. For the sake of a small price increase, will people stop buying their favourite meal each week? I don’t think so.