If i'm going to spend £100 in a fancy restaurant, are the reviews good, is the food and service good, same with a hotel stay.
If you're going to spend £100 in a restaurant, it's not fancy.
4 X pizzas, alone, at Pizza Express will set you back £70. That's not including drinks, that's not including starters, sides or deserts, that's not including a service charge (which at a fancy restaurant you will almost certainly be paying).
Prices have risen exponentially over the past few years for everything, except seemingly Merlin entrance prices. They've increased slightly, but really you're not paying drastically more than you were 10, even 20, years ago. Even the annual passes haven't crept up by much. This will be eating in to the bottom line.
With the outsourcing of F&B, that's a major profit centre gone for the quick initial exchange of a chunk of upfront change. They don't control the F&B operations, they don't profit from them, they're of no interest to them.
The only financial levers Merlin have left to pull now, really, are on merch, incidental purchases, the hotel and entrance fees. The product isn't offering more, so they can't touch the entrance fees or the hotel, leaving only the merch and incidental purchases. This is where the problem lays.