REVOLUTION Bars is drawing up plans to close venues as it comes under pressure from the Government’s new 10pm curfew.
The move potentially puts hundreds of jobs at risk at the firm, previously know as Vodka Revs, which employs 3,000 across 73 bars.
It is looking at using a company voluntary arrangement (CVA), which is an insolvency mechanism that firms to close outlets or reduce rents with the agreement of creditors.
But a spokesperson insisted the firm is not going bust given its “strong balance sheet”.
However, it is pulling out all the stops in a bid to stay “viable” as Covid hits trading.
The group said: “The Board is currently evaluating the potential impact of the latest developments on the group’s business before deciding what the next steps should be.
"One of the potential options being explored is a reduction in the size of the Group’s estate by the implementation of a company voluntary arrangement ("CVA").”
On Tuesday Prime Minister Boris Johnson ordered all pubs, bars, restaurants and other hospitality sites to close at 10 pm from Thursday, with only table service allowed, to battle a fast-spreading second wave of COVID-19.
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The government has extended a cut to value-added tax for hotels, cafes and restaurants until March 31 to support the struggling sector.
Pub operator JD Wetherspoon said it could cut 400-450 jobs at sites at six airports, including London's Heathrow and Gatwick, because of a large drop in passengers.
Mitchells & Butlers has also said the future remains challenging and uncertain because of the new curfew.