Administrators said two separate deals had been reached to sell off the bar and pub portfolios, with Neos Hospitality and Ted Kennedy acquiring the businesses
Several Revolution bars are set to close(Image: Revel Collective)
Nearly 600 jobs are set to be axed following a last-ditch rescue deal for the group behind Revolution Bars, which will see more than 20 sites shut their doors immediately.
Administrators for Revel Collective, the AIM-listed hospitality firm that also operates the Peach pubs chain, confirmed two separate transactions have been struck to offload its bar and pub estates.
The Revolution Bars and Revolution de Cuba brands have been acquired by Cardiff-based Circuit nightclub operator Neos Hospitality, whilst the Peach pubs portfolio has been taken on by veteran hospitality entrepreneur Ted Kennedy.
More than 1,500 jobs and 41 venues will be preserved through the twin rescue deals, administrators FTI confirmed, though 21 sites and 591 jobs face the axe.
As many as 14 Revolution bars, six Revolution de Cuba bars, and one Peach pub will close with immediate effect, as reported by City AM.
FTI said: “The businesses have faced a sustained period of challenging economic conditions including subdued consumer confidence, particularly amongst the younger guest, and the cumulative impact of changes to employer NICs thresholds, minimum wage increases and duty on spirits, all of which have had a detrimental impact on trading.”
Trading in Revel shares was suspended on Monday after the hospitality group was compelled to announce its intention to appoint administrators following unsuccessful negotiations to sell the business. Revel’s revenue for the year ending June 2025 was £117.1m, a like-for-like decrease of 7.9 per cent compared to the previous year.
This decline was attributed to what it termed as “ongoing fragile consumer sentiment and market challenges.”
Chief executive Rob Pitcher said: “Guests in our bars continue to face cost challenges and the late-night sector remains challenging for many participants.”
In an effort to diversify its operations, Greater Manchester-based Revel acquired Peach Pubs in 2022 for £16.5m. It initiated a sale process in May 2024 and received an overture from listed bar owner rival Nightcap.
However, Nightcap later expressed “disappointment” after its merger proposal was turned down.
The widespread closures could be perceived as a symbolic setback to Rachel Reeves’ comprehensive business rates reforms announced at the Budget.
Tax minister Dan Tomlinson is anticipated to reveal another government reversal, with up to £300m to be offered to pubs in temporary support following intense backlash from industry officials.
Other hospitality businesses, including bars and restaurants, might not receive a support package.
Tensions surrounding the new tax scheme for business properties peaked when leftwing Labour member Rachel Maskell questioned the Prime Minister about taking urgent action to assist pubs facing increased tax bills by thousands of pounds.
Hundreds of publicans also barred Labour MPs as part of the ‘Wonky Table’ campaign.
According to consumer intelligence firm NIQ, by the end of December there were 382 fewer licensed premises than three months earlier, equating to four closures daily.
Casual dining establishments and restaurants were particularly severely affected, with 241 closures recorded during this period, whilst pubs across all categories experienced a decline in site numbers.
NIQ highlighted that restaurants have been especially impacted by food inflation and elevated labour costs, resulting from recent rises to the minimum wage and employers’ national insurance. The firm also identified weakened consumer confidence as a significant challenge facing hospitality businesses.
Here is a list of the 21 venues closed with immediate effect:
Revolution:
Cardiff – Wales
Durham – County Durham
Exeter – Devon
Glasgow, Renfield St – Scotland
Huddersfield – West Yorkshire
Ipswich – Suffolk
Leeds Electric Press – West Yorkshire
Leicester – Leicestershire
Manchester, Oxford Road – Greater Manchester
Manchester, Parsonage Gardens – Greater Manchester
Nottingham Cornerhouse – Nottingham
Plymouth – Devon
Preston – Lancashire
Sheffield – South Yorkshire
Revolucion de Cuba:
Aberdeen – Aberdeenshire, Scotland
Cardiff – Wales
Derby – Derbyshire
Harrogate – North Yorkshire
Liverpool – Merseyside
Reading – Berkshire
Peach Pubs:
The Almanack, Kenilworth – Warwickshire
