Revolution Bars has announced it is closing its eight least profitable sites, including the Wilmslow bar on Alderley Road to reduce further losses.
The closed bars are Revolution Bars in Beaconsfield, Derby, Reading, St Peters Liverpool and Wilmslow, Revolución de Cubas in Sheffield and Southampton and the Playhouse in Newcastle-Under-Lyme. The company said negotiations for five of the eight bars had already begun - for them to be transferred to other operators or their leases rescinded - and it is working to redeploy staff to other sites.
Whilst the Group announced it had a strong festive trading period, with like-for-like sales for the four weeks from 4 to 31 December up 9.0%, their younger customers "continue to be disproportionately impacted" by the rising cost-of-living and the 10.8% increase in the national living wage in April 2024 will be a further challenge.
Rob Pitcher, CEO of Revolution Bars Group, said "We have had the best festive trading period for four years with all of our brands recording positive like for like sales and Revolución de Cuba being the standout performer.
"However, our younger customers are still feeling the disproportionate effect of the cost-of-living crisis and the national living wage will increase materially in April 2024. Therefore, we have taken the difficult yet ultimately beneficial step for the Group to close several bars which are unprofitable.
"Our teams do a terrific job in making guests welcome and giving them a great experience and again we have demonstrated that when our customer base can afford to do so, they are choosing to celebrate with us, and we have delivered record levels of guest satisfaction. This should bode well for the future."
The Group will continue to operate 58 bars and 22 pubs.