UK’s two trading bodies Association of Licensed Multiple Retailers (ALMR) and the British Hospitality Association (BHA) have revealed plans to merge, as part of efforts to support the hospitality sector to deliver its full growth potential.

The merger will create a new body, UKHospitality, to support the UK’s £130bn hospitality sector.

The transformed body will consolidate all the businesses of hospitality sector including coffee shops, hotels, pubs, restaurants, leisure parks, nightclubs, contract caterers, entertainment and visitor attractions.

UKHospitality proposed CEO-elect Kate Nicholls said: “Faced with unprecedented political and regulatory pressures, now more than ever it requires the strongest and most effective voice within government.

“UKHospitality will be that vital voice and I am relishing the prospect of working with members to deliver both strong and connected relationships with government and a shared ambition to reshape the future of hospitality”.

UKHospitality aims to deliver policies to help the hospitality sector in securing opportunities concerning employment, innovation and support entrepreneurs.

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The proposed new body will oversee the hospitality businesses across the UK, giving an authoritative voice to more than 700 firms, 65,000 venues and 2 million workers.

With a unified voice, the body represents the aggregated businesses on the strategic, structural and regulatory issues.

UKHospitality deputy chair Steve Richards said: “A single strong voice for this vital and important sector will create a powerful platform for the changes we need; on tax, on people, on property and on regulation, for UK hospitality to really thrive, drive jobs growth and cement its position as a leading industry, globally.”

The hospitality sector, which generates £38bn of tax for the Exchequer, represents 10% of UK employment, 6% of businesses and 5% of GDP.

The extraordinary general meeting (EGM) will be held next month to approve the recommended proposals.