Monday, 30 Nov 2020

Revolution Bars reveals plans to close six venues

Another casualty of the 10pm curfew: Revolution Bars will close six venues putting 130 jobs at risk after Covid restrictions caused its takings to fall by a third

  • Six Revolution bars will close as company looks to lower rent at seven other sites
  • Bar sales at the company are 50 per cent lower compared to this time last year 
  • A 10pm curfew on bars has seen Revolution’s income drop by nearly 30 per cent  

Revolution Bars has revealed it plans to close six venues putting 130 jobs at risk across the country as the impact of a 10pm curfew caused its bar sales to drop by a third.

Sales at Revolution-branded bars are 49.4 per cent down on last year’s levels, as the hospitality industry bears the brunt of Covid-19 restrictions.

The company has confirmed around 130 jobs look set to be cut out of its workforce of 2,500 people – but has not confirmed which venues are set to close.

Six Revolution bars are set to close after the company saw its bar sales drop by a third once a 10pm curfew was introduced on September 24

There are 50 Revolution bars nationwide, meaning 37 will be left unscathed by these proposed changes.

Revolution Bars Limited said that it will have to shut six of its bars and reduce rents at seven others as part of a proposed company voluntary arrangement (CVA).

The CVA will be discussed at a meeting with creditors on November 13.

In the three weeks before the curfew was introduced, the business’s bar sales were at nearly 78 per cent of last year’s levels. In the five weeks since the curfew started, that figure has dropped to 49.4 per cent. 

Chief executive, Rob Pitcher, said: ‘Throughout this extended period of distress caused by Covid-19, the group has sought to prioritise the health and wellbeing of its staff and customers, minimise its cash consumption, maintain good levels of liquidity to ensure its ongoing viability and to be in a position to take advantage of opportunities that may arise once restrictions are lifted. 

‘The CVA proposed by the group’s Revolution Bars Limited subsidiary entity, if agreed by landlords, is another proactive step to lower outgoings to help safeguard the future of the group and improve long-term performance.’

Around 130 jobs are set to go at six Revolutions bars across the country, the company has not confirmed which locations are facing closure

UK Hospitality has called for an end to the 10pm curfew, amid concerns for the impact it will have on bars and pubs nationwide.

Speaking earlier this month, chief executive Kate Nicholls said: ‘The introduction of the curfew has had a severe and devastating impact.

‘Businesses are feeling the cumulative impact of all the restrictions placed on them, but they have really suffered since the introduction of the curfew. 

‘The curfew has wiped away revenue from businesses that were only just clinging on. 

‘For many, it has tipped them into financial unviability.’

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