Putney branch could be on list of seventeen restaurants being considered for closure

Gourmet Burger Kitchen Putney. Picture: Google Streetview

Fears that Putney may be losing yet another restaurant have been raised by an announcement this week that Gourmet Burger Kitchen (GBK) has earmarked nearly a quarter of its branches for closure.

The chain which has around 80 restaurants has filed for a Company Voluntary Arrangement (CVA) which allows them to close unprofitable branches and renegotiate expensive leases with landlords. They have said that 17 of their stores are earmarked for closure but have not responded to requests for the locations of the doomed branches. A CVA is a step short of going into administration and is a route that has been taken by a number of restaurant chains recently including Carluccio’s, Byron which have outlets in Putney.

The owner of GBK Famous Brands, a South African based company, has said that 250 jobs out of the 2,000 employed in the UK are at risk if the plan goes through although the company would look to redeploy staff. The company recently announced a £47million loss in what they describe as ‘a challenging casual dining market’.

Managing director Derrian Nadauld said, "We are having to take tough but necessary actions to reduce our fixed cost base and restore long-term profitability. This [CVA] will provide greater security for our staff, suppliers, landlords and customers."

The company has said that no branch is to close immediately.

October 26, 2018