Papa Johns to shut underperforming UK restaurants

The firm say 43 are to close

Pizza chain Papa Johns is to shut 43 restaurants across the UK.

The takeaway business confirmed plans to axe the “underperforming” locations after launching a review at the start of the year.

It will close the restaurants by mid-May following a consultation process, Papa Johns International said.

The company has not confirmed how many staff will be impacted by closures.

The group had previously said it planned “strategic closures” in order to free up money for investment and improving profitability at its remaining UK sites.

It has now identified 43 restaurants as “underperforming locations that are no longer financially viable”.

Chris Phylactou, managing director at Papa Johns UK, said: “Our priority is our team members, who will be fully supported throughout this process.

“Our goal is to work with impacted team members and attempt to find redeployment opportunities where available.

“We understand the impact this will have on our team members and are committed to supporting them during this time.”

Papa Johns said it plans to increase investment in research and technology, such as better utilising customer data, as part of its UK strategy.

It also said it will look at the development of new types of sites beyond traditional restaurants, such as expanding into holiday parks, and is set to “announce other large retail partners in the coming months”.

Mr Phylactou added: “While this is a difficult decision, closing these underperforming locations will give us the opportunity to invest back into the right locations with the right partners for long-term growth.

“We are focused on driving shared profitable growth across our UK restaurants, by continuing to make improvements to our business to ensure that we are well positioned for the future.

“We have been encouraged by the results so far from these initiatives.”

Published: 26/03/2024 by Radio NewsHub

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