Pizza Hut Shuts 79 UK Locations After Major Franchisee Collapses, Over 1,200 Jobs Lost
Pizza Hut has confirmed the immediate closure of 68 restaurants and 11 delivery sites across the UK, resulting in the loss of 1,210 jobs in a major blow to the casual dining sector.
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The closures follow the collapse of one of the brand's largest franchisees, DC London Pie Limited, which was forced into administration recently. While the administration was announced, the immediate effect on staff and stores was not confirmed until later.
Administrators FTI Consulting LLP have now completed a sale of parts of the franchisee's business. The deal has resulted in a mixed outcome, with a significant number of sites shutting their doors for good.
Greater Manchester has been hit particularly hard, with seven popular restaurants ceasing operations. The affected locations include sites at Wigan's Robin Park, Urmston's Trafford Retail Park, Rochdale's Sandbrook Leisure Park, and Oldham's Elk Mill Retail Park. The closures also impact the branches at Manchester Fort Shopping Centre, Bolton's Middlebrook Retail Park, and Ashton's Snipe Retail Park.
However, in a significant rescue effort, Pizza Hut UK has stepped in to save 64 other sites previously operated by the franchisee. This move has successfully safeguarded 1,277 jobs, preventing an even greater number of redundancies.
The collapse of DC London Pie Limited has been attributed to a challenging economic climate. A spokesperson for the administrators cited difficult trading conditions, increased costs, and material cash flow pressures arising from tax obligations as key factors behind the company's failure.
The news highlights the ongoing pressures facing the UK's hospitality industry, which continues to grapple with rising energy bills, food inflation, and shifting consumer spending habits.
.jpg)
The closures follow the collapse of one of the brand's largest franchisees, DC London Pie Limited, which was forced into administration recently. While the administration was announced, the immediate effect on staff and stores was not confirmed until later.
Administrators FTI Consulting LLP have now completed a sale of parts of the franchisee's business. The deal has resulted in a mixed outcome, with a significant number of sites shutting their doors for good.
Greater Manchester has been hit particularly hard, with seven popular restaurants ceasing operations. The affected locations include sites at Wigan's Robin Park, Urmston's Trafford Retail Park, Rochdale's Sandbrook Leisure Park, and Oldham's Elk Mill Retail Park. The closures also impact the branches at Manchester Fort Shopping Centre, Bolton's Middlebrook Retail Park, and Ashton's Snipe Retail Park.
However, in a significant rescue effort, Pizza Hut UK has stepped in to save 64 other sites previously operated by the franchisee. This move has successfully safeguarded 1,277 jobs, preventing an even greater number of redundancies.
The collapse of DC London Pie Limited has been attributed to a challenging economic climate. A spokesperson for the administrators cited difficult trading conditions, increased costs, and material cash flow pressures arising from tax obligations as key factors behind the company's failure.
The news highlights the ongoing pressures facing the UK's hospitality industry, which continues to grapple with rising energy bills, food inflation, and shifting consumer spending habits.
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