Pergola Paddington Closing, a Sign of London’s Changing Hospitality Landscape

The sudden announcement of Pergola Paddington’s closure in early January 2024 surprised many of its loyal patrons. This iconic rooftop venue, known for hosting some of London’s most vibrant parties, served its last customers on January 20 after six and a half years of operation 🎉. But what led to the shutdown of such a popular spot?

​​A Look Back at the Vibrant Venue​​ ✨

Pergola Paddington was more than just a place to eat and drink; it was an experience. Since opening in July 2017, it became a staple in London’s social scene, famous for its lively events like ‘Pergola Paraiso’ and ‘Deck the Halls’. With a capacity for 850 people, it offered a unique rooftop setting that made it a favorite for large gatherings and special occasions. Its parent company, Incipio Group, which also runs other popular spots like Libertine and Palm House, confirmed the closure but assured that the Pergola brand would live on at other locations such as Pergola on the Wharf and a new, soon-to-be-announced space .

​​So, Why Did It Close?​​ 🤔

The closure wasn’t due to a single reason but a combination of factors. Like many in the hospitality industry, Pergola Paddington faced significant challenges. It was part of a wave of hospitality venues shutting down that same week due to financial difficulties—others included Kindle in Cardiff, Green’s in Didsbury, and the Pig and Whistle in Beverley .

While not explicitly stated, the end of its lease likely played a role. This is a common challenge for successful venues in evolving urban landscapes, where rising rents and property development plans can force even well-established businesses to reconsider their future.

The broader hospitality industry has been navigating a changed landscape. As Sebastiaan de Kort, co-owner of the recently closed NOTA restaurant in Paddington (a different establishment but in the same area), observed, ​​“The industry has changed. The spending has changed. People are working very hard for their money at the moment, so you need to make sure you tick every box.”​​ He also noted that consolidating operations under one roof can sometimes be a smarter strategy than maintaining multiple locations . This sentiment might reflect the strategic thinking behind Incipio’s decision to close this particular Pergola while expanding others.

​​The Bigger Picture: Hospitality’s New Reality​​ 🌐

Pergola Paddington’s story is a microcosm of the pressures facing the wider UK hospitality sector.

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  ​​Financial Pressures:​​ Rising operational costs, from energy to ingredients, squeeze profit margins.

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  ​​Changing Consumer Habits:​​ Patrons may be more cautious with discretionary spending, seeking greater value or different experiences.

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  ​​The Lease Cycle:​​ For many venues, the end of a lease term forces a tough decision: reinvest under potentially less favorable terms, or move on.

​​A Nostalgic Farewell and Future Plans​​ 🥂

To bid a proper farewell, Pergola Paddington hosted a closing party on January 20th, featuring a lineup of special guest DJs—a fitting send-off for a venue built on good times . Importantly, this closure isn’t the end for the Pergola concept. Incipio Group, which secured new investment in 2022 for a “healthy pipeline” of new sites, is focusing on its other eight venues, including the recently launched 411 in Angel . The brand’s evolution continues.

The closure of Pergola Paddington reminds us that cities and their popular spots are always changing. While we say goodbye to one chapter, new experiences and venues are constantly emerging, shaping the future of how we socialize and dine out.