Pizza Express has launched a proposal to reduce its UK restaurant estate and rental cost base via a company voluntary arrangement (CVA). The CVA is intended to improve the operational performance of the business against the backdrop of challenging trading performance, difficult market conditions caused by the COVID-19 crisis and the effect of lockdown measures upon its restaurants. The proposal includes the permanent closure of 73 restaurants, which will impact 1,100 team members.
Zoe Bowley, UK&Ireland Managing Director, commented: “The announcement of the CVA proposal today follows a period of constructive dialogue with the British Property Federation and a broad range of our landlords. We have taken on board their feedback and accommodated their requests as far as possible. Unfortunately, the impact of the global pandemic has meant that we have had to make some incredibly tough decisions to safeguard PizzaExpress for the long term. Today we have confirmed that 73 of our pizzerias are proposed to close permanently. In most cases, there is another PizzaExpress nearby, either already open or reopening soon, to welcome our customers. Our focus is on our people whose jobs are impacted and we will be doing everything we can either to redeploy them or to support them in finding roles elsewhere. Hard as this process is, it will protect the jobs of over 9,000 of our colleagues and provide a strong footing for PizzaExpress to meet future challenges and opportunities.”
