What is a Ghost Kitchen? The Complete UK Guide to Delivery-Only Restaurants
Everything you need to know about ghost kitchens, dark kitchens, and cloud kitchens in the UK—plus how to know if it's the right model for your food business.
Quick Summary
A ghost kitchen (also called a dark kitchen, cloud kitchen, or delivery-only restaurant) is a commercial food preparation space with no dining room, no storefront, and no walk-in customers. Operators prepare food exclusively for delivery and takeaway via apps like Just Eat, Deliveroo, and UberEats.
Key advantage: Start a food business with 60-70% lower costs than a traditional restaurant. Main challenge: Entire success depends on delivery apps and online reputation.
Ghost Kitchen vs. Other Kitchen Rental Models
The term "ghost kitchen" gets used loosely in the UK, often mixed up with other commercial kitchen models. Let's clarify:
Ghost Kitchen (Delivery-Only)
Your entire operation is delivery/pickup only. You have no customers walking in, no dine-in space, no storefront. Think of it as running a restaurant through apps—Just Eat, Deliveroo, UberEats, or your own website.
Shared Commercial Kitchen (Hourly/Rental)
You rent a fully equipped kitchen by the hour or day. You might use it to prep ingredients, test a new concept, or run a catering business. No delivery operations—you control the hours.
Food Hall / Shared Space
Multiple food vendors share one space, but there's usually a common dining area or market-style seating. Customers order from different stalls. Examples: food markets, food courts.
Traditional Restaurant
Full kitchen + dining room + front-of-house staff (servers, bartenders). You own the location and handle customers directly. High overhead, but full control over pricing and experience.
How Ghost Kitchens Work in the UK
A typical ghost kitchen workflow looks like this:
- 1
Rent a Commercial Kitchen
You lease shared kitchen space (usually £1.5K-4.5K/month in UK cities) from a commissary, food hub, or shared kitchen provider.
- 2
List Your Brand on Delivery Apps
Create profiles on Just Eat, Deliveroo, UberEats, or use your own ordering system. Your brand appears to customers in your delivery radius—customers never know it's a ghost kitchen.
- 3
Receive Orders Online
Orders come through the app. You see the order details: menu items, delivery address, special instructions, payment status.
- 4
Prepare & Pack
Your team cooks the food and packages it with your branding (labelled boxes, stickers, branded packaging).
- 5
Driver Picks Up & Delivers
The delivery platform's driver (or a driver you hired) collects the order and delivers to the customer. You don't handle delivery logistics.
Types of Ghost Kitchens in the UK
Ghost kitchens come in different formats depending on your goals and budget:
Shared Commissary Kitchen
Multiple food brands rent kitchen units in one building. Each brand has its own small kitchen space, shared storage, and shared utilities. Examples: Kitopi-style facilities, independent food hubs.
Cost: £1,500-4,500/month depending on location and equipment.
Solo Ghost Kitchen (Back-of-House)
You rent an entire commercial kitchen space (either a standalone building or the back of an existing restaurant) and operate your delivery brand(s) from there. You might run multiple virtual restaurant brands from the same space.
Cost: £2,000-6,000/month depending on location and kitchen size.
Hybrid Ghost Kitchen (Market + Delivery)
A shared kitchen space with a small dine-in or pickup counter. Customers can order online for delivery OR walk in to order and eat there. Gives you flexibility.
Cost: £2,000-5,000/month (typically less than full restaurants due to smaller front-of-house).
Virtual Restaurant (No Kitchen at All)
You create a brand on a delivery app that operates out of another restaurant's kitchen. This is not a ghost kitchen—it's a virtual restaurant. You pay commissions to the restaurant, not rent.
Cost: 10-30% commission per order (lowest barrier to entry).
5 Key Benefits of Ghost Kitchens
Much Lower Startup Costs
No dining room, no front-of-house staff, minimal decor, no prime location premium. Total startup: £5K-15K (vs. £100K+ for a traditional restaurant). You're paying for kitchen equipment and licensing, not rent on customer-facing space.
Minimal Overhead
No servers, bartenders, or cashiers. No expensive rent on a high-street location. Your rent is typically 30-40% of what a traditional restaurant pays, and it's all kitchen-focused—no wasted space paying for empty tables.
Easier to Test & Pivot
Want to change your menu? Switch from Thai to Indian cuisine? Launch a second brand? With a ghost kitchen, your only customer touchpoint is the food itself. Pivoting doesn't require rebranding a physical location or training front-of-house staff.
Scalable & Location-Flexible
You can operate from a suburb with cheap rent and still reach city customers via delivery. You can open in multiple locations simultaneously or test new markets without committing to a long lease in an expensive area.
Tap Into Massive Delivery Demand
60% of UK food consumers now order delivery at least weekly. The market is still growing. Ghost kitchens let you serve this demand without the overhead of a traditional restaurant.
Real UK Cost Breakdown (2025)
Here's what you actually pay when running a ghost kitchen in the UK:
| Kitchen Rental | £1,500–4,500/month |
| Delivery App Commissions | 15-30% per order |
| Food Costs (COGS) | 25-35% of revenue |
| Packaging & Delivery Branding | £200–500/month |
| Insurance & Licenses | £150–400/month |
| Staff (2-3 people) | £4,000–8,000/month |
| Marketing & Ads | £300–1,000/month |
Example: If you generate £3,500 in monthly revenue, here's your breakdown:
This is why volume matters: you need £7,000–10,000/month in revenue to break even. After that, profit margins are typically 15-25%.
Is a Ghost Kitchen Right for Your Food Business?
Ghost kitchens aren't for everyone. Ask yourself these questions:
If you checked at least 5 boxes, a ghost kitchen could work. If not, consider a food truck, pop-up, or traditional restaurant instead.
Common Misconceptions About Ghost Kitchens
❌ "It's just a side hustle—I won't need employees"
Wrong. Even a small ghost kitchen needs 2-3 staff during peak hours to handle prep, cooking, and plating. Solo operation doesn't scale.
❌ "I can just copy a successful restaurant concept"
The delivery market is different. Food that works in a restaurant (slow dishes, dine-in experiences) may fail as delivery. Your concept needs to be designed for delivery.
❌ "Delivery apps will drive customers to me automatically"
Apps are a channel, not marketing. You still need great photos, strong branding, promotions, and positive reviews to stand out among thousands of other ghost kitchen brands.
❌ "I can charge premium prices because I have lower costs"
Pricing on delivery apps is set by market competition, not your costs. You need to stay competitive. The cost savings help your margins, not your pricing power.
Getting Started: Your First 90 Days
Week 1-2: Research & Plan
- Research kitchen availability in your target area
- Finalize your food concept (test recipes with friends/family)
- Calculate startup costs and funding needs
- Check local food safety regulations and licensing requirements
Week 3-4: Secure Kitchen & Legal Setup
- Sign lease on shared kitchen or commercial space
- Register business and get food hygiene certificate
- Obtain business insurance
- Apply for delivery app accounts (Just Eat, Deliveroo, UberEats)
Week 5-8: Setup & Branding
- Design menu and pricing
- Professional food photography (critical for delivery)
- Create brand identity (name, logo, packaging)
- Hire and train 1-2 initial staff members
Week 9-12: Launch & Optimize
- Soft launch on delivery apps to test operations
- Optimize menu based on order data
- Build reviews and ratings
- Scale marketing once operations are smooth
Frequently Asked Questions
Q: Can I run a ghost kitchen from home?
No. UK food safety law requires a certified commercial kitchen with separate handwashing facilities, food storage, and pest control measures. Home kitchens are not permitted.
Q: What about taxes and accounting?
You'll need to register as self-employed or a limited company. Track all expenses (kitchen rent, food costs, packaging, delivery fees). Most ghost kitchen operators pay 20% corporation tax. Consult an accountant—it's worth the investment.
Q: How much food delivery demand is there in the UK?
Significant. UK online food delivery was worth £8.9bn in 2024 and growing at 12-15% annually. However, it's concentrated in urban areas. Rural locations may not have enough demand.
Q: Can I operate multiple brands from one kitchen?
Yes. Many successful ghost kitchens run 2-3 different virtual brands from the same space (e.g., Thai, Italian, Middle Eastern). This diversifies your revenue and hedges against concept failure.
Q: What's the difference between a ghost kitchen and a commissary kitchen?
A commissary kitchen is typically just a shared food prep space. A ghost kitchen is a delivery-focused operation that uses a kitchen (often shared). You can use a commissary kitchen for ghost kitchen operations.
Q: How long until I break even?
Typically 6-12 months if you can reach £8,000-10,000 in monthly revenue. If you're stuck below £5,000/month, you'll burn through capital. Success depends heavily on your concept, location, and marketing.
Final Thoughts
Ghost kitchens are a genuine opportunity for food entrepreneurs who want to start a business with lower overhead and less risk than a traditional restaurant. But they're not a shortcut—they're just a different business model with different challenges.
Your success depends on three things:
- A distinctive food concept that works as delivery
- Consistent execution and good reviews (this drives orders on apps)
- Smart marketing and visibility on your chosen apps
The ghost kitchen market in the UK is mature but still competitive. Success requires real effort, not just lower costs. If you're ready to commit to testing, iterating, and delivering quality food consistently, it's absolutely worth exploring.
Related Reading
How to Rent a Kitchen in the UK
Step-by-step guide to finding, booking, and preparing a commercial kitchen space with real costs and checklists.
Read Guide →Start a Ghost Kitchen Business
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Read Guide →Ready to Find a Ghost Kitchen Space?
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