Gordon Ramsay has added a discretionary service charge of 20 per cent to diners' bills at his exclusive Lucky Cat restaurant in London, marking a shift towards US-style tipping in the UK. The charge was applied to the New Year's Eve menu, where customers already faced prices such as £138 for a Japanese A5 sirloin steak and £140 for a chef's selection of sushi.
The 20 per cent charge exceeds the typical 15 per cent at most Ramsay establishments and is higher than other celebrity chefs, including Marco Pierre White (10 per cent) and Rick Stein (12.5 per cent). Niaz Caan, owner of award-winning Paro in Covent Garden, called the 20 per cent rate 'exorbitant', though he acknowledged it might be justified for New Year's Eve.
This move reflects a broader trend in the UK, where more pubs and restaurants are adding discretionary service charges automatically, similar to the US where 20 per cent tips are common. However, Caan doubted the UK would fully adopt US tipping culture, stating that mandatory charges 'defeats the point' of encouraging good service.
The hospitality sector faces mounting pressures, including a recent minimum wage increase, rising business rates, and higher energy and food costs. A survey by UKHospitality found that one in five businesses fear collapse within the next year. Kate Nicholls, chair of UKHospitality, emphasised that all tips and service charges go directly to staff to recognise their hard work.
Social media reaction was critical, with one user, Christopher MacCulloch, stating: 'Charge 20% more and just pay the staff a proper wage. It's a disgrace in the US, making staff live on what is essentially charity.'
