Upper Crust owner confirms 5,000 jobs could be axed after drop in customers

Upper Crust owner SSP has said up to 5,000 jobs are under threat following plunging passenger numbers at railway stations and airports due to the coronavirus pandemic.

The firm said it had planned to reopen branches as soon as businesses started operating again, but that hasn't happened.

Currently train passenger numbers are down 85%, while air travel is at a tiny fraction of its pre-Covid-19 levels.

"The reality is that passenger numbers still remain at very low levels, a reflection of the extent and duration of the current restrictions in place," SSP said.

It added: "We have therefore come to the very difficult conclusion that we will need to simplify and reshape our UK business, and we are now starting a collective consultation on a proposed reorganisation.

"If the pace of the recovery continues at the current level, this could lead to up to c. 5,000 roles becoming redundant."

With millions still working from home, station sandwich shops are struggling (Alamy)

SSP chief executive Simon Smith said: "Covid-19 continues to have an unprecedented impact on the travel industry and on SSP's businesses in all geographies. Reflecting this, over the last three months the company has taken rapid and decisive action to protect the business and to substantially strengthen the Group's financial position."

But there was some hope.

"We are beginning to see early signs of recovery in some parts of the world and are starting to open units as passenger demand picks up," he added.

"However, in the UK the pace of the recovery continues to be slow. In response to this, we are now taking further action to protect the business and create the right base from which to rebuild our operations.

"Regrettably, we are starting a collective consultation which will affect our UK colleagues.

"These are extremely difficult decisions, and our main priority will be to conduct the process carefully and fairly."

He added that the "medium-term prospects" for the firm are positive.

"The objective of the action that we are proposing today is to ensure that we manage through this pandemic, rebuild our business as demand recovers and, in time, deliver long term sustainable growth for the benefit of all our stakeholders."