A FAMILY favourite restaurant chain is to close 46 branches after being hit hard by soaring energy and food costs.
Prezzo, the Italian restaurant chain, has said about 810 workers are at risk of redundancy as part of the overhaul.
AlamyPrezzo is to close 46 branches, it has announced[/caption]
The shake-up will leave the hospitality chain with 97 restaurants and about 2,000 staff.
It said the closures will impact some high street sites as the chain focus on its branches in locations such as shopping centres, retail parks and tourist destinations.
Staff were informed about the closures today (Monday, April 24), with a consultation process launched.
Prezzo said it will work to redeploy “as many staff internally as possible” and will support others in new opportunities.
A date for the closures hasn’t been announced yet. The Sun has asked Prezzo and we will update this story once we hear back.
The restaurant group said costs have leapt over the past year, with its utility bills more than doubling.
It has also been impacted by soaring food inflation, which hit a 45-year high last month.
It comes as Frankie and Benny’s owner The Restaurant Group (TRG) revealed in March that it is considering shutting 35 sites over the next two years.
The Sun has so far spotted three Frankie and Benny’s restaurants listed for sale by estate agents Savills.
In December 2022, pub chain Wetherspoons announced it would be closing a total of 39 pubs after being hit by soaring inflation.
Plus burger chain Byron Burger fell into administration, immediately closing nine of its branches.
Prezzo said it saw a 40% increase in the cost of spaghetti, 28% rise for pizza sauce and 15% increase in the cost of its dough balls.
Dean Challenger, chief executive of Prezzo, said: “The last three years have been some of the hardest times I have ever seen for the high street and I’m extremely proud of the way our colleagues have retained Prezzo’s position as an appealing, trusted, great value food and drink experience.
“We believe the tough decisions we are making today will ensure Prezzo can continue serving communities with high-quality, accessible Italian-inspired meals for many more years to come.”
Prezzo fell into administration in late 2020 after the heavy impact of the pandemic.
It was then snapped up by current private equity owners Cain International.
This closure plan comes two years after the group previously shut 22 restaurants and cut 216 jobs.
Here is a full list of all the Prezzo restaurants due to close:
BecclesBillericayBoltonBorehamwoodBostonBracknellBrentwoodBuckhurst HillBuckinghamChichesterChingfordColchesterCorbyDidcotEastbourneEghamElthamElyEpsomFleetGlasgow, St Vincent PlaceHailshamHarpendenLivingstonLyndhurstMaidstoneMere GreenMill HillOxfordPlymouthRedditchRedhillRugbySheppertonShirleySidcupSt NeotsStowmarketTenterdenTunbridge WellsWeybridgeWhitstableWickfordWimborneWinchesterWoodford Green
Your rights in redundancy
Companies can choose to cut their workforce and employees should understand their rights.
You are entitled to statutory redundancy pay, but only if you have worked at your job for two years or more.
The statutory rate is based on your age, weekly pay and number of years in the job.
You will get:
Half a week’s pay for each full year you worked aged under 22One week’s pay for each full year you worked aged 22 or older, but under 41One and half week’s pay for each full year you worked while aged 41 or older.
But it’s capped at 20 years and the max redundancy pay you can get is currently £16,320.
Some companies may offer to pay more than the statutory amount. This will usually be in your contract.
Plus, you are still entitled to any pay you are owed for untaken holiday days at the end of your notice period.
The government has a calculator on its website to help you work out how much you are owed.
Do you have a money problem that needs sorting? Get in touch by emailing [email protected]