In a significant move, Pizza Express has decided to proceed with the closure of 73 restaurants across the UK, resulting in the loss of up to 1,100 jobs. This decision comes after a restructuring deal was overwhelmingly supported by 89% of its creditors. The Company Voluntary Arrangement (CVA) aims to reduce the restaurant chain's massive debt and secure its future in a challenging economic landscape.
Like many in the food service industry, Pizza Express has been grappling with the financial fallout from the COVID-19 pandemic. The company, known for its Italian cuisine, joins other chains like Zizzi and Byron Burger in shutting down locations following a significant slump in sales during the lockdown. The closures are part of broader efforts to stabilize operations and focus on more profitable ventures.
The restructuring plan aims to cut Pizza Express's debt from £735 million to approximately £319 million, with a new funding injection of around £144 million earmarked for growth initiatives. Despite the challenges, the company still operates 355 restaurants in the UK, with more than 30 slated to reopen soon as conditions improve.
In the wake of these changes, Pizza Express has expressed its gratitude to its creditors for their ongoing support. The directors emphasized the importance of this vote in enabling the company to tackle the challenges posed by the pandemic and ensure job security for over 9,000 employees across the UK. However, the closure of the 73 restaurants still represents a significant blow to the workforce and local communities affected.
The following locations have been identified for permanent closure:
- Aberdeen - Belmont St
- Aylesbury
- Barnstaple - Three Tuns
- Biggleswade
- Billericay
- Birmingham - Corporation St
- Birmingham - Mailbox
- Bournemouth - Post Office Rd
- Bramhall
- Bristol - Berkeley Sq
- Bristol - Regent St
- Bromsgrove
- Bruton Place
- Charlotte St
- Chippenham
- Dalton Park
- Darlington
- Dudley - Merry Hill
- Earls Court - Earls Ct Rd
- Edinburgh - Holyrood
- Formby
- Fulham Palace Road
- Glasgow - Princes Square
- Glossop
- Gosforth
- Grantham
- Halifax
- Hampstead
- Hatch End
- Hereford
- Heswall
- Ipswich - Lloyds Ave
- Leeds - Crown St
- Leeds - Horsforth
- Ludlow
- Lymington
- Melton Mowbray
- Midhurst
- Milton Keynes - Hub
- Moseley
- New Brighton
- Newcastle
- Newport - Isle of Wight
- Newport - South Wales
- Northallerton
- Nottingham - Goosegate
- O2 Finchley
- Orpington
- Oxford - Oxford Castle
- Poole
- Port Solent
- Ramsgate
- Reading - St Mary's Butts
- Scarborough
- Sheffield - Devonshire St
- Sheffield The Moor
- Shirley
- Southport - Old Bank
- Stafford
- Staines
- Stoke
- Stourbridge
- Sudbury
- Torquay
- Uxbridge
- Wakefield
- Walsall
- Wapping
- Wardour St
- Weston-super-Mare
- Whiteley Village
- Whitstable
- Wrexham
As the hospitality industry navigates recovery, the future for Pizza Express will depend on its ability to adapt and thrive in an ever-changing market landscape. The support from creditors and a focused strategy may provide the foundation needed to rebuild and regain customer confidence.
