HOUSE prices are dropping, the economic forecast is dreary and the rain has not let up for months in London. All the more reason to find comfort in the good things in life, it would seem. According to the new Zagat guide, London restaurant lovers are paying little heed to the credit crunch, with more people than ever eating out regularly in the capital.

With the average cost of a meal with three courses and a glass of wine in London increasing by about 3.7 per cent to $71.77 since last year's survey, it is hardly surprising that 76 per cent of Londoners say they are spending more eating out than ever before. Yet 82 per cent of the survey respondents said they are going out just as much, if not more, than they did two years ago.

Tim Zagat, co-founder of Zagat Survey, said “Although the average cost of a meal in London is up, that hasn't stopped diners from eating out on the town. Thanks to an influx of less expensive eateries 43 per cent say they are going out more and only 18 per cent say less.”

The deepening economic cloud may have a silver lining for London's restaurant scene — thanks to a declining Pound Sterling, London is no longer the most costly city for dining out in the world. “London is no longer quite so daunting for tourists from a price perspective,” said Zagat. “There is also lot of choice at the budget end of the scale in London. The famous restaurants may get all the publicity, but there are also a lot of wonderful inexpensive ethnic restaurants.”

Thanks in part to the relative strength of the euro, Paris now tops the list of the world's most expensive places to eat out. And according to the 2009 guide, the food that is in London is now not only cheaper, but better than the average fare found in the French capital.

In a scale up to 30, Zagat reviewers gave London an average food rating of 20.52 compared with Paris's 19.40. For anyone who has experienced the studied surliness of that city's waiters it will come as little surprise that it is much the same story with service — overall London restaurants average 18.39 for service compared with 17.88 in Paris.

— The Guardian, London