BrewDog has introduced it’ll shut six of its pubs, blaming spiralling prices and a “clueless government”.
The craft beer agency will shut the Hop and Anchor in Aberdeen, Smithfield Market Arms in London, Hop Hub in Motherwell and its BrewDog bars in Dalston, east London; Old Street, east London; and Peterhead, Scotland.
James Watt, founder and chief govt of the corporate, mentioned in a LinkedIn submit that the hospitality sector faces “sheer ‘rabbit in the headlights’ paralysis of this zombie government” as rocketing prices threaten the way forward for many pubs, eating places and bars.
He mentioned it was “heart-breaking” to lose the six pubs however added: “Reality in the hospitality space is starting to bite and bite hard. And the government needs to get a grip, now.
“If nothing occurs, the UK appears to be like set to lose half of its pubs and bars and all of the tens of millions of jobs these areas present, in addition to the important position they play in native communities.”
A spokesman for the corporate mentioned workers on the affected pubs had been redeployed within the firm’s different areas, and no jobs can be misplaced.
It comes simply two weeks after BrewDog opened its largest bar in London’s Waterloo station, with Mr Watt saying this location had acquired greater than 20,000 guests on this time.
But he mentioned it was necessary to not let this success “blind us all to the reality we as a sector are facing”, including that he had no alternative however to shut the six pubs.
Read extra:
‘Nobody anticipated to be hit with this disaster’: Hospitality companies name for pressing VAT lower
“I warned a few weeks ago, costs are rising to such a degree, with no prospect of any help from a clueless government, that these very difficult decisions have to be made,” he mentioned.
“It was going to be simply impossible to get these bars even close to financial viability in the foreseeable future. We had no choice but to close them.
“I’m so, so joyful that as a result of power in different elements of our bar property, each single particular person has been supplied a job in a separate bar close by, so there shall be no job losses. But I pray this isn’t an indication of issues to come back.”
He added: “Reality within the hospitality house is beginning to chew and chew exhausting. And the federal government must get a grip, now.
“If nothing happens the UK looks set to lose half of its pubs and bars and all the millions of jobs these locations provide, as well as the vital role they play in local communities.”
It comes a day after commerce group UKHospitality referred to as on the federal government for pressing assist, together with VAT cuts, to stop “tens of thousands of job losses”.
The name was backed earlier in August by Manchester’s night time time economic system adviser Sacha Lord and chef Simon Wood, who each mentioned authorities wanted to chop VAT for hospitality companies.
At the time, Mr Wood mentioned the vitality invoice for his restaurant WOOD Manchester had gone from £6,000 a month to £16,000.
Source: information.sky.com”