Leon, the popular British fast food chain, has said it plans to close some of its restaurants and cut jobs after appointing administrators
A well known UK fast food chain has said it will close restaurants and cut jobs with administrators called in.
Leon plans to close some of its restaurants which will mean job losses after appointing administrators. John Vincent, who established Leon in 2004 and has recently reacquired the business from EG, previously said that certain unprofitable locations may need to shut down as part of his efforts to restore the company’s financial health.
The entrepreneur also acknowledged that staff numbers might need to be cut as he introduces a range of measures to restructure the business. Leon has been operated by Asda for the past two years, during which time the supermarket itself has accumulated billions of pounds in debt following its £6.8 billion takeover by the Issas and private equity firm TDR in 2021.
And during this period, the restaurant chain has suffered substantial financial losses, with some observers claiming it has strayed from the values that initially drove its success under Vincent’s original leadership. Revenue across its locations dropped from £64.9 million in 2023 to £62.5 million in 2024, resulting in a pre-tax loss of more than £8 million.
The restaurant chain has over 70 restaurants in the UK, alongside 29 franchised sites at locations including airports and other hubs, employing approximately 1,120 staff.
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