Revolution Bars are planning to close some sites as the government’s 10pm curfew has killed trade and they have lost around of a third of their revenue.
In the three weeks before the government introduced the 10pm curfew across England, Revolution announced that their revenue was almost 78% of 2019 levels.
Revolution said sales have plummeted by 49.4% in the five weeks since the curfew started, “due to the imposition of the 10pm curfew and more recently localised lockdowns, with more severe operating restrictions now affecting many of the group’s reopened bars.”
The company said one of their subsideries, Revolution Bars Limited will close six branded bars and will have rents reduced at seven other sites, which is part of a proposed company voluntary arrangement (CVA).
The CVA will put before creditors on 13 November, which will not affect the ordinary operations of the rest of the group.
Out of the 2,500 staff, around 130 jobs are at risk, and the locations of sites that are set to close has not yet been revealed.
The company said in their report, “Given the latest government restrictions under which the group is operating, the group’s trading outlook is uncertain and based on all the information and commentary available, the board now anticipates that the important Christmas trading period will be severely compromised and any return to near normal levels will not be possible before next spring at the very earliest.”
Revolution Bars chief executive Rob Pitcher added, “Throughout this extended period of distress caused by COVID-19, the group has sought to prioritise the health and well-being 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.”