New Delhi, April 18 -- The ban on service charge won't make eating out cheaper - leading restaurant chains are looking to raise prices to compensate for the loss. Some customers feel the final charges may be even higher than before, including tips for the waiting staff.

After the Delhi High Court barred restaurants from levying the 10% optional fee, many outlets and chains are incorporating an equivalent hike into their menu prices. The increase could be higher in malls or premium areas, where rent agreements are tied to revenues. Usually, most eateries take about a 5% annual hike to offset rising input costs.

"Ideally, restaurants would have liked to increase prices by around 15-20% this year to account for both food inflation and the ...