The brand has announced it plans to shut 29 restaurants.
Founded in 1958 in Kansas, the well-loved pizza brand opened its first UK location in Islington in 1973 and since this launch has grown their UK portfolio to nearly 250 locations. The group has announced that the decision to negotiate the CVA was due to significant disruption amidst the ongoing Coronavirus pandemic and a result low footfall.
A spokeswoman for Pizza Hut has commented: “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.”
Speaking of the brands struggle in recent years and exasperated by the ongoing circumstances, Sean Moran, Insolvency Partner at Shakespeare Martineau has commented: “Even before the coronavirus pandemic hit, with footfall in town centres having fallen by 5 per cent since 2015, casual dining operators have been desperately looking to renegotiate new terms with landlords, including turnover rent and rent holidays. These, however, have been met with resistance from landlords and for struggling businesses with a number of premises, getting rid of large and expensive high street leases is key to survival.”
