Pizza Hut to close 29 restaurants with loss of 450 jobs amid CVA proposals

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Around 450 jobs are at risk at Pizza Hut which has announced plans to shut 29 of its 244 UK restaurants as part of a major restructure.

The Pizza Hut Restaurants group said it is negotiating a company voluntary arrangement (CVA) deal after facing “significant disruption” from the covid-19 pandemic.

The group said it has put forward the proposals as “sales are not expected to fully bounce back until well into 2021” despite a quick and safe reopening of sites.

It added the move will not affect operations or jobs at Pizza Hut Delivery or related franchises.

It is not yet known which UK restaurants have been earmarked for closure under the plans.

A spokeswoman said: “We are committed to doing the right thing and, in order to secure as many jobs as possible and continue serving our communities, we are working to reach an agreement with our creditors.

“We understand this is a difficult time for everyone involved.

“We appreciate the support of our business partners and are doing everything we can to help our team members during this process, including speaking with those affected by the consultation.”

The firm first called in advisors from Alvarez & Marsal in July, saying it hoped it would not have to close any branches or make job cuts.

The group has 244 dine-in sites in England, Scotland and Wales owned by one franchisee, which employs 5,700 staff.

Its other branches in the Channel Islands and Northern Ireland are owned by different franchise operators, while its 380 UK delivery and takeaway outlets also have a different owner, and aren’t affected.


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