The Caterer
Jacobs Media Group is honoured to be the recipient of the 2020 Queen's Award for Enterprise.

Little Chef bosses will slash prices

27 October 2005

Little Chef's new owners have slammed the roadside chain's overpriced menus and poor food offer.

Former Out of Town restaurant group owners Simon Heath and Lawrence Wosskow, who bought the 235-strong chain from Travelodge last week for £52m, said they will slash prices to woo customers back.

"There'll be no more ridiculously priced £2 pots of tea, no more credit card breakfasts and no more remortgages required to feed the family on a short break," said a spokesman for People's Restaurant, the company set up by the pair for the purposes of the deal.

Heath said they would invest about £10m over the next two years, including 500,000 on improving the visibility of roadside signage, £1m on refurbishment work and £5m on developing a grab-and-go offer.

"We'll be keeping fat Charlie on our signs," he added.

Outgoing Little Chef managing director Gerry Carroll agreed that there had been a "pricing issue" but defended his management of the company.

"I stabilised the business and cleaned it up for sale. We went from annual profit decline of 20% to double-digit growth this year, when we made about £10m."

The sale was handled by Davis Coffer Lyons.

Little Chef prices

BeforeAfter
Full English, tea and toast£9.40£4.00
Fish and chips with mug of tea£9.48£4.99
Pot of tea£2.0099p/mug
The Caterer Breakfast Briefing Email

Start the working day with The Caterer’s free breakfast briefing email

Sign Up and manage your preferences below

Check mark icon
Thank you

You have successfully signed up for the Caterer Breakfast Briefing Email and will hear from us soon!

Jacobs Media Group is honoured to be the recipient of the 2020 Queen's Award for Enterprise.

The highest official awards for UK businesses since being established by royal warrant in 1965. Read more.

close

Ad Blocker detected

We have noticed you are using an adblocker and – although we support freedom of choice – we would like to ask you to enable ads on our site. They are an important revenue source which supports free access of our website's content, especially during the COVID-19 crisis.

trade tracker pixel tracking