The Government’s 10pm curfew has cost Revolution Bars around a third of its revenue, the company said as it announced plans to close several sites.
Revolution said that one of its subsidiaries will now have to shut six Revolution-branded bars and reduce rents at seven others as part of a proposed company voluntary arrangement (CVA) that it hopes its creditors will support at a meeting on November 13.
In the three weeks before the curfew was introduced, the business’s bar sales were at nearly 78% of last year’s levels. In the five weeks since the curfew started, that figure has dropped to 49.4%.
Revolution Bars chief executive Rob Pitcher said: “Throughout this extended period of distress caused by Covid-19, the group has sought to prioritise the health and wellbeing 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.”
