LONDON (Reuters) -Pizza Hut UK will shut 68 restaurants and 11 delivery sites, resulting in the loss of 1,210 jobs, after the company behind its British venues entered administration, according to administrator FTI Consulting.
FTI was announced on Monday as administrator of DC London Pie Limited, the operator of Pizza Hut’s UK restaurants.
However, in a so-called pre-pack administration Pizza Hut’s global owner Yum! Brands, the U.S. hospitality giant, agreed to save 64 UK restaurants, preserving 1,276 jobs.
“This targeted acquisition aims to safeguard our guest experience and protect jobs where possible,” Nicolas Burquier, Yum! Brands’ managing director international operating markets, said.
“Our immediate priority is operational continuity at the acquired locations and supporting colleagues through the transition.”
Pizza Hut’s administration comes as Britain’s hospitality industry faces mounting cost pressures, including higher staff wages and employee social security contributions, while cash-strapped UK consumers are cutting back on dining out.
(Reporting by James Davey; Editing by Jan Harvey)
