A defining year for indoor play

State of the Industry 2025

Opinion

The Association of Indoor Play’s fourth annual industry survey paints a sobering picture for the UK’s indoor play sector in 2025. Operators are facing tough trading conditions, shaped by rising costs and cautious consumer spending. Growth is hard to come by, and many businesses are feeling the pressure more than ever before. The first half of the year brought unprecedented heatwaves which significantly reduced footfall across indoor venues. Spring and early summer saw record temperatures, driving families outdoors and leaving many operators struggling to cover their costs. At the same time, staffing costs have soared, fuelled by increases to National Insurance and minimum wage rates. Staff now account for an average of 36 per cent of all revenue. Rents have climbed well above inflation, and energy bills are once again on the rise.

Smaller, independent venues have been hit hardest. With fewer resources and tighter margins, they are far more exposed to cashflow issues than larger, multi-site operators.

Yet, there are reasons for cautious optimism. Party bookings have remained resilient, with this revenue stream now accounting for a third of income for many centres. Operators are adjusting, improving efficiencies, testing new ideas, and maintaining strong community links. Most importantly, 86 per cent of respondents expect to still be trading or even expanding in twelve months’ time.

DESPITE IT ALL, 86% OF OPERATORS EXPECT TO STILL BE TRADING OR EVEN EXPANDING NEXT YEAR – A TESTAMENT TO THE SECTOR’S RESILIENCE AND CREATIVITY

Maria Cantarella, CEO of the Association of Indoor Play, said: “The resilience and ingenuity shown by our sector is nothing short of inspiring. Despite all the external pressures, operators are rolling up their sleeves and pushing forward. But we cannot ignore the cracks forming.

“Without meaningful support from government on VAT, business rates and staffing costs, we risk losing the very venues that bring joy, connection and wellbeing to families across the UK.”

The demand for indoor play has not disappeared. Families still seek shared experiences, and play remains a vital outlet for children’s development and parents’ sanity. With the right backing, the indoor play sector can continue to thrive as a cornerstone of the UK’s leisure landscape.

To explore the full 2025 State of the Industry report, visit [www.associationofindoorplay.org](http://www.associationofindoorplay.org/)