Pizza restaurants under closure threat

Further information on which locations will be affected has not yet been released.

Bosses have confirmed that an agreement has been reached with its secured creditors and majority shareholder Hony Capital.

This will lead to a restructuring which will aim to cut costs by £144 million.

A company voluntary arrangement has also been put into place where each UK branch will be individually assessed.

The company said: “This decision is a very difficult one; however, against the current unprecedented backdrop, Pizza Express believes reducing the size of its estate will help it to protect 9,000 jobs.”

The chain is the latest high street outlet to undertake a restructuring of its business after trading was halted by the coronavirus pandemic.

The company closed all its UK restaurants on March 23 after the lockdown was announced.

Andy Pellington, group chief finance officer, said in a statement: “While we have had to make some very difficult decisions, none of which has been taken lightly, we are confident in the actions being taken to reduce the level of debt, create a more focused business and improve the operational performance, all of which puts us in a much stronger position.”

The company said the initial signs from the restaurants that have been reopened had been “very encouraging” and hoped that its loyal customers would continue to support the business now more than ever.