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Revolution Bars ‘grateful' for stakeholder support but action needed to protect sector's 3.2 million jobs

14 April 2020 by
Revolution Bars ‘grateful' for stakeholder support but action needed to protect sector's 3.2 million jobs

Revolution Bars has said it is "grateful" for the support of suppliers, employees and some landlords who have helped to bring it closer to being "well-positioned to emerge from this crisis".

However chief executive Rob Pitcher has said more support is needed to protect the 3.2 million people employed in the hospitality sector.

The brand, which has 74 sites operating under the Revolution and Revolución de Cuba brands, has furloughed 98% of its team (2,775 people), while Pitcher, the chief financial officer and non-executive directors have taken 50% pay cuts.

All PAYE and VAT payments have been suspended for three months from 18 March and rent reductions have been negotiated, as well as contract extensions with key suppliers.

The actions have reduced the business' weekly running costs to £400,000, on top of which it has extended its debt facility from £21m to £30m until 31 August 2020.

Pitcher said: "We welcome and are delighted with the additional support from Natwest at this difficult time. They have acted as a true partner to our business and this decisive action has enabled us to be another step closer to being well-positioned to emerge from this crisis.

"We are also grateful to those other stakeholders, including our employees, suppliers and certain landlords who have approached this crisis in a similar manner, helping to secure the future of this great business.

"However, there is still more to be done to ensure the protection of the 3.2m jobs in our sector along with the £39b of direct tax receipts paid annually to the UK government. Specifically, this includes more support in connection with property related costs during this enforced closure period and beyond, including support for landlords themselves and we encourage the UK government to take swift action in this respect."

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