UK Meal Prep: The Rise, Fall and Rebound of the Industry

The UK's meal prep industry has experienced significant growth in recent years, driven by consumers' increasing demand for convenient, healthy, and time-saving meal solutions. However, this expansion has not been without challenges, leading to the emergence of new companies and the closure of others.

Challenges Facing the Meal Prep Industry

The meal prep sector faces several challenges that have contributed to the closure of some businesses:

1. High Operational Costs: Running a meal prep company involves significant expenses, including sourcing quality ingredients, maintaining kitchen facilities, and managing logistics for delivery. These costs can erode profit margins, especially for startups without substantial capital.
2. Changing Consumer Preferences: Evolving dietary trends and the demand for diverse meal options require companies to continually innovate and adapt their menus. Failure to meet consumer expectations can result in decreased customer retention.
3. Economic Factors: Rising energy costs and inflation affect both operational expenses and consumers' disposable income, potentially reducing spending on meal prep services. Companies must balance pricing strategies to remain attractive while maintaining profitability. Notable effort is expended by meal prep companies in advertising and educating consumers about reasons why nutritionally dense, chef prepared meal prep meals cost a lot more than supermarket ready meals.
4. Food Safety Concerns: Ensuring the safety and quality of prepared meals is paramount. Any lapses can lead to health risks and damage a company's reputation, making stringent quality control essential.
5. Supply Chain Disruptions: Factors such as strikes, geopolitical events, and pandemics have disrupted supply chains, leading to ingredient shortages and increased costs. These disruptions necessitate strategic adjustments in sourcing and inventory management.
6. Labour Shortages: The industry faces challenges in recruiting and retaining skilled staff, impacting production efficiency and service quality. Labour shortages can lead to increased wages and operational strain.

Notable Company Closures

Despite the industry's overall growth, several meal prep companies have ceased operations due to various challenges. Some of these include companies that The Meal Prep Market onboarded on its platform and tried the hardest to promote on our platform.

1. Allplants: A plant-based meal delivery service, Allplants announced its closure, expressing gratitude to its customers for their support.
2. Batch & Thyme: Specialising in nutritionally balanced, chef-prepared frozen meals delivered nationwide, Batch & Thyme ceased operations in 2024. The company was known for using no added preservatives and offering a variety of meal options.
3. Nourish Fit Food: Based in Bolton, Nourish Fit Food provided healthy meal plans delivered to customers' doors. Despite a strong start, the company closed its operations in 2024.
4. Love Yourself Meals: A UK-based healthy meal delivery service offering a variety of freshly prepared, calorie-controlled meals tailored to different dietary needs, Love Yourself Meals liquidated in 2024.
5. Pro Prep Meals: After careful consideration, Pro Prep Meals decided to discontinue its meal prep service and restaurant operations, thanking supporters and hinting at future endeavours.
6. Vital Ingredient: Established in 2001, Vital Ingredient operated a chain of made-to-order salad and soup bars in London. The company underwent a management buyout in 2016 but faced financial difficulties, leading to a pre-pack administration in 2018. The brand has not been active since the COVID-19 pandemic.

Positive Developments in the Industry

Despite these challenges, the meal prep industry has seen positive developments, with some companies experiencing significant growth:

1. FuelHub: Founded in 2019 by Michelle and James Laithwaite, FuelHub has celebrated exceptional growth, with turnover projected to hit £4 million by April 2025. The company has achieved a 90% year-on-year revenue increase, driven by a consistent 9% month-on-month rise in customer numbers and partnerships with top-tier sporting organizations. FuelHub plans to triple its weekly production capacity to 36,000 meals and expects turnover to surpass £7 million by 2026.
2. Simmer Eats: Simmer Eats has become one of the UK's fastest-growing food businesses, serving over 2 million meals and helping thousands of people. The company offers balanced meals for busy lives, delivered fresh and full of flavour.

Conclusion

While the UK's meal prep industry continues to grow, it faces a complex array of challenges that require strategic management and adaptability. Companies must navigate high operational costs, supply chain disruptions, labour shortages, and shifting consumer preferences to remain competitive. Learning from the experiences of both successful and shuttered businesses can provide valuable insights for navigating this dynamic market.

At The Meal Prep Market, we strive to educate consumers on the benefits of meal prep in our mission towards making ordering ready meals as convenient as ordering takeaways, while reducing the marketing and selling costs for meal prep companies.

Discover what we have on The Meal Prep Market!

Sources: 

Company Closures:

Love Yourself Meals Liquidation (2024)

UK Companies House Filing History:https://find-and-update.company-information.service.gov.uk/company/11139594/filing-history

Batch & Thyme Closure (2024)

Meal prep company specializing in frozen, chef-prepared meals ceased operations in 2024.No official website or announcement remains, but previous business details can be found at:https://www.batchandthyme.com (may be inactive)

Nourish Fit Food Closure (2024)

The company, which provided healthy meal prep services in Bolton, shut down in early 2024.No official announcement available, but past customer experiences can be reviewed on:https://www.instagram.com/nourishfitfood

Pro Prep Meals Closure (2023)

Official website confirmed business closure:https://proprepmeals.co.uk

Vital Ingredient (Inactive Since COVID-19, 2020)

Wikipedia entry outlining the company's financial struggles and closure:https://en.wikipedia.org/wiki/Vital_ingredient

Challenges Facing the Industry:

Rising Operational Costs & Inflation Impact on the Food Industry

UK food businesses struggle with rising costs post-Brexit and inflation:https://www.fwbltd.com/navigating-the-future-of-uk-food-production-and-manufacturing-challenges-and-opportunities

Competition from Cheap Ready Meals

Supermarkets have ramped up affordable, microwave-ready meals, increasing competition:https://www.theguardian.com/uk-news/2023/jul/10/supermarkets-cut-ready-meal-prices

Food Safety and Meal Prep Risks

Research on UK meal prep food safety concerns and consumer confidence issues:https://www.foodprotection.org/members/fpt-archive-articles/2022-11-meal-kit-use-in-the-united-kingdom-implications-for-food-safety

Impact of Labour Shortages on Meal Prep Businesses

The UK food industry faces challenges in hiring staff post-pandemic:https://www.winman.com/blog/uk-food-manufacturers-are-overcoming-challenges-with-erp

Positive Developments & Future Growth:

FuelHub’s Expansion & Future Growth (2025)

The company plans to triple meal production and surpass £7M revenue by 2026:https://www.insidermedia.com/news/north-west/meal-prep-delivery-service-which-works-with-team-gb-plots-2025-expansion-business-has-seen-consistent-month-on-month-growth

Simmer Eats’ Growth & Market Dominance

Over 2 million meals served, solidifying its place in the industry:https://www.instagram.com/simmer.eats/reel/C_SoSocoAY4