Propel legal Briefing: Dark kitchens: the rise of delivery-only food by Karen Lush
2026
First appearing for Propel Hospitality in their Legal Briefing on 11th February 2026
Dark kitchens: the rise of delivery-only food by Karen Lush
I recently came across the headline: “One in seven food delivery businesses in England are dark kitchens.” It was the sort of statistic that makes you stop mid-scroll – one in seven? That felt a lot!
On closer look, this statistic isn’t just surprising, it highlights a profound shift in how food is being produced and delivered. From a legal perspective, it also raises questions about whether our licensing and regulatory systems, designed for traditional food businesses, are keeping up and whether the public is properly protected.
So, what exactly is a dark kitchen? You might have heard them referred to as ghost, cloud or virtual kitchens. Research commissioned by the National Institute for Health and Care Research (NIHR) and conducted by universities including Sheffield, Cambridge, Teesside and Central Lancashire has led to an agreed definition: “Technology-enabled commercial kitchen(s) operating primarily for delivery, to fulfil remote, on-demand, consumer online orders of food for immediate consumption.”
In other words, these are kitchens built around apps and digital demand. These are food businesses whose entire operation is shaped by technology rather than footfall. It’s a striking shift when you consider that for generations, communities were built around their local eateries, where the simple act of popping in for a meal often created connections. Now, entire food businesses operate without ever seeing a customer. There are wider questions about whether this convenience comes at the expense of community – but that is not for me to answer.
Why has the number surged to one in seven?
A few key factors, including the covid-19 pandemic, have helped dark kitchens become more common:
- High street costs
Rising rents, business rates, and energy bills have made traditional dine-in restaurants harder to sustain. Dark kitchens have lower overheads and can grow and adapt more quickly. - Delivery apps
People now order food mostly through apps, even from dine-in restaurants. Being visible on a screen often matters more than being visible on the street. - Multiple brands from one kitchen
One kitchen can run several virtual brands at the same time. This gives customers more choice while getting the most out of a single site. - Menus driven by data
Dark kitchen menus can change quickly, responding to what customers want in real time via algorithm indicators.
Licensing, regulation and enforcement
Despite their hidden nature, dark kitchens are still similar to traditional restaurants and takeaways in one key way – they fall under the Licensing Act 2003. While it is widely known that a premises licence is needed to sell alcohol, it is less commonly known that preparing hot food or drinks for delivery between 11pm and 5am also requires a licence for late-night refreshment under the Licensing Act 2003, just like any takeaway or restaurant.
This creates a striking contrast. The most modern food production model in the country is still governed by a licensing framework written over 20 years ago, before the concept of a dark kitchen even existed. It is a reminder that while the industry has evolved at speed, the rules guiding it were built for a very different world.
Licensing obligations for dark kitchens are the same as for dine-in restaurants. They must uphold the four licensing objectives:
• Prevention of crime and disorder
• Public safety
• Prevention of public nuisance
• Protection of children
The fact that customers never enter the premises does not reduce these responsibilities. Dark kitchens also fall under multiple other regulatory regimes, none of which were designed with this model in mind.
Over the past couple of years, we have noticed that licensing authorities have begun taking a closer look at the terms of premises licences granted to dark kitchens. They are increasingly recognising potential issues such as noise, smells and public nuisance, even in cases where local residents’ associations have not raised formal objections. As a result, we are noticing more conditions applied to these licences, covering areas such as delivery driver management, restrictions on operating hours, noise mitigation and the use of electric bikes or scooters.
The future of food
Looking ahead, the only real limits on where this model goes next is the technology that continues to shape it. We are already seeing kitchens driven by data rather than diners, and the logical next step is greater automation on a wider scale across the industry. This does not mean a Hollywood-style assembly line of robots overnight, but it is likely we will see more AI-assisted systems managing stock, cooking processes, portioning and even aspects of food preparation. A colleague of mine was recently in China and ordered a takeaway through an app, only for the food to be delivered to her hotel room by a robot, like something straight out of a Buck Rogers episode.
Some operators are already experimenting with automated fryers, smart ovens and AI-driven workflow tools that reduce the need for large teams. As these kitchens become more like streamlined production facilities than traditional food premises, the regulatory questions will grow. How do we assess risk, and how should licensing and planning frameworks adapt to a model that increasingly resembles a tech-enabled food factory rather than a conventional eatery?
Protecting trust in an invisible industry
As dark kitchens continue to grow, it is striking how quickly the food world has shifted from something familiar and community-based to something far more hidden and tech-driven. It is not quite Soylent Green, but as I wrote this article and looked ahead to where the sector might go, I could not help but reflect on how people now happily consume what arrives at their door without ever seeing where it came from or who made it.
As technology continues to reshape how food is produced and delivered, the role of licensing will be to ensure that even in this increasingly invisible system, the rules remain clear, responsibilities stay visible and the public can trust what lies behind the app. With around 15% of online food delivery businesses operating in the dark, the sector is no longer an experiment but a growing part of our infrastructure.
As more of the food we consume is prepared out of sight, it becomes increasingly important that licensing, planning and regulatory teams across the country continue to uphold high standards that protect the public and maintain confidence in the system. For more information and help with applying for your own premises licence, please contact one of our lawyers, who will be happy to help.