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US-style tipping at pubs in the UK to "become the norm", experts fear

ended 26. August 2025

FINANCIAL experts fear US-style tipping will “gradually become the norm” in UK pubs.

The Well and Boot pub in Waterloo, London, owned by Glendola Leisure, made national headlines for introducing an automatic, optional 4% tip per tipple.

It adds as much as 30p to the cost of a beer – pushing a pint of £7.65 Camden IPA to £7.95 once the charge is included, while an Aspall cider or Guiness goes from £7.45 to £7.75.

The pub stressed that 100% of its tips go to its staff.

The UK isn't known for its tipping in bars, while customers in the US can expect to shell out an extra 15-20% on the bill.

Graham Wells, Founder and Financial Coach at Haddington-based GroWiser Financial Coaching, fears compulsory tipping could become the norm in the UK.

He said: "I'm not a fan of this willy-nilly style tipping. The whole point of discretionary tipping is to show appreciation for fab service, but this blanket charge, driven by big corporates, is removing consumer discretion. They might say it's "optional" but that's just playing on normal, human behaviour. 

"They know that most people will just pay it without question. It's hard to accept this is being done for the benefit of staff and it makes you wonder if the scheme is presented as an alternative to proper pay rises. It muddies the waters for employees, as it's not always clear if tips count towards pensionable income or mortgage applications. 

"It could backfire to an extent as it'll likely put some people off, but I fear it'll gradually become the norm unless the government changes tax rules to disincentivise this behaviour. And I can't see that happening any time soon."

Benjamin Beck, Money Coach at Beck Money Coach, said tipping is different in the UK and the US.

He said: "It's important to understand the origins of tipping first. It was introduced in the US because employers refused to pay staff minimum wage back in 1938. Even today, hospitality workers in the US rely heavily on tips. 

"As such, service is very important and staff are incredibly attentive to earn better tips. In the UK, it doesn't seem to carry the same attitude. It's tipping for tipping sake, regardless of service. 

“Some places may excel, but it's not the norm. If tipping in the UK meant an improvement in service, it could be better received. With no improvement, it just makes things more expensive and could drive punters away.”

Samuel Mather-Holgate, Independent Financial Adviser at Swindon-based Mather and Murray Financial, said pouring pints shouldn't need a tip.

He added: "It’s something us Brits hate the most, adding stuff to the bill without our express permission. We aren't stingy, in fact we probably tip the most after the States, but we like the choice. 

"We also don’t want to be tipping where it’s not deserved. Pouring a pint doesn't deserve a tip like an excellent waiter does. This is sure fire way of putting off punters and pushing your regular drinkers down the road."

Julia Walton, Director at Media Contacts, agreed, adding: “It's simply not on. Tipping in the UK is something we do in recognition of excellent service, not pouring a pint.”

Michelle Lawson, Director at Fareham-based Lawson Financial, said: "I hope this practice isn't here to stay. I really don't mind tipping for good service and someone going above and beyond but pouring a pint does not merit a tip. The current standard of UK customer service means this is generally quite rare so there is something to take away from that. 

“Question is, if staff got paid on service alone, would they work harder to give a better customer experience that we would all benefit from? I think we all know the answer is yes.”

6 responses from the Newspage community

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Editor
Graham Wells
Founder and Financial Coach at GroWiser Financial Coaching
I'm not a fan of this willy-nilly style tipping. The whole point of discretionary tipping is to show appreciation for fab service, but this blanket charge, driven by big corporates, is removing consumer discretion. They might say it's "optional" but that's just playing on normal, human behaviour. They know that most people will just pay it without question. It's hard to accept this is being done for the benefit of staff and it makes you wonder if the scheme is presented as an alternative to proper pay rises. It muddies the waters for employees, as it's not always clear if tips count towards pensionable income or mortgage applications. It could backfire to an extent as it'll likely put some people off, but I fear it'll gradually become the norm unless the government changes tax rules to disincentivise this behaviour. And I can't see that happening any time soon.
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Editor
Michelle Lawson
Director at Lawson Financial
I hope this practice isn't here to stay. I really don't mind tipping for good service and someone going above and beyond but pouring a pint does not merit a tip. The current standard of UK customer service means this is generally quite rare so there is something to take away from that. Question is, if staff got paid on service alone, would they work harder to give a better customer experience that we would all benefit from? I think we all know the answer is yes.
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Editor
Samuel Mather-Holgate
Independent Financial Adviser at Mather and Murray Financial
It’s something us Brits hate the most, adding stuff to the bill without our express permission. We are stingy, in fact we probably tip the most after the States, but we like the choice. We also don’t want to be tipping where it’s not deserved. Pouring a pint doesn't deserve a tip like an excellent waiter does. This is sure fire way of putting off punters and pushing your regular drinkers down the road.
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Editor
Benjamin Beck
Money Coach at Beck Money Coach
It's important to understand the origins of tipping first. It was introduced in the US because employers refused to pay staff minimum wage back in 1938. Even today, hospitality workers in the US rely heavily on tips. As such, service is very important and staff are incredibly attentive to earn better tips. In the UK, it doesn't seem to carry the same attitude. It's tipping for tipping sake, regardless of service. Some places may excel, but it's not the norm. If tipping in the UK meant an improvement in service, it could be better received. With no improvement, it just makes things more expensive and could drive punters away.
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Platinum
Keith Budden
Managing Director at Ensurety
I hate anywhere that automatically adds tips to the bill. If I receive good service, I will tip appropriately but that should be my decision not automatically added to the bill. If my local introduces this practice I will rapidly find somewhere else to partake of my tipple. On a broader note, businesses should be careful about using this as a way to avoid employer's NIC. It may have changed as its been a good few years since I worked in the hospitality industry but it always used to be the case that tips were only free of tax and NI if they were collected and distributed by the staff with no oversight by the manager/owner of the establishment. In other words, if you have a tankard behind the bar, all of the tips go into it and at the end of the evening a member of staff divides it up between the staff on duty then there's no tax and NI, but if the employer does the collection and allocation then it is regarded as earned income and tax and NI are payable by the employer.
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Julia Walton
Director at Media Contacts
It's simply not on. Tipping in the UK is something we do in recognition of excellent service, not pouring a pint.