Carluccio's restaurant chain saved but 1,000 job losses

22 May 2020, 08:25

Some jobs have been saved at the Carluccio's restaurant chain
Some jobs have been saved at the Carluccio's restaurant chain. Picture: PA
EJ Ward

By EJ Ward

Struggling restaurant chain Carluccio's has been rescued in a deal which will save 30 of its restaurants but result in more than 1,000 job losses.

Administrators announced on Friday that the chain has been purchased by Giraffe and Ed's Easy Diner owner Boparan Restaurant Group (BRG) in a move which will save 800 jobs.

However, administrators warned they were not able to work out a deal with would save 40 additional restaurants, which will mean 1,019 redundancies.

Phil Reynolds, joint administrator and partner at FRP, said: "The Covid-19 lockdown has put incredible pressure on businesses across the leisure sector, so it has been important to work as quickly and as decisively as possible in an extremely challenging business environment to secure a sale.

"It ensures the future of the Carluccio's brand in the UK casual dining scene, retains a significant network of sites across the country and, critically, transfers a considerable number of jobs."

Satnam Leihal, managing director of BRG, said: "We welcome Carluccio's colleagues to BRG.

"This acquisition is in line with our strategy to grow our restaurant group with quality brands.

"Whilst it is an extremely challenging time for the sector, we believe quality hospitality businesses will recover in the long term as people return to eating out."