Jamie Oliver has expressed his pride at “positively disrupting” the UK restaurant industry after his ailing business group finally collapsed into administration, putting as many as 1,300 jobs at risk.
‘Devastated’
The celebrity chef behind Jamie’s Italian, Barbecoa and Fifteen, said he was “deeply saddened” to bring in administrators KPMG but insisted his “amazing” team has succeeded in achieving what it had set out to do.
Jamie Oliver statement in full
Oliver said in a statement: “I am deeply saddened by this outcome and would like to thank all of the staff and our suppliers who have put their hearts and souls into this business for over a decade. I appreciate how difficult this is for everyone affected.
“I would also like to thank all the customers who have enjoyed and supported us over the last decade, it’s been a real pleasure serving you.
“We launched Jamie’s Italian in 2008 with the intention of positively disrupting mid-market dining in the UK high street, with great value and much higher quality ingredients, best in class animal welfare standards and an amazing team who shared my passion for great food and service. And we did exactly that.”
Oliver followed up the statement with a tweet, saying: “I’m devastated that our much-loved UK restaurants have gone into administration. I am deeply saddened by this outcome and would like to thank all of the people who have put their hearts and souls into this business over the years”
I’m devastated that our much-loved UK restaurants have gone into administration. I am deeply saddened by this outcome and would like to thank all of the people who have put their hearts and souls into this business over the years. Jamie Oliver
See AlsoBBC Radio 4 - Radio 4 in Four - What we've learnt from 20 years of Jamie OliverJamie Oliver facts: discover chef's wife, children, home & more | HELLO!Jamie Oliver: I'm not a fan of cookery competition shows— Jamie Oliver (@jamieoliver) May 21, 2019
What went wrong for Jamie Oliver?
The campaigning chef has presided over a large portfolio of restaurant chains since being propelled to fame 20 years ago but many of them have closed their doors over the past two years.
Administrators have confirmed there will be approximately 1,000 redundancies and that all but three of Oliver’s 25 remaining restaurants have closed.
The casual dining scene has suffered major losses in recent years, with high-street competitors Byron and Strada among the most notable casualties.
Nearly half (48) ofof the UK’s Top 100 restaurant groups made losses in the 12 months to March 2019, up from one third the year before, according to the accountancy group UHY Hacker Young.
Britons’ changing tastes
Consumer tastes have evolved since Oliver arrived to shake up the UK dining scene and what was once fresh and exciting has grown familiar and stale for many restaurant-goers.
Diners are now leaning towards more experiential outlets and increasingly trading down from full-service restaurants like Jamie’s to faster, flexible options in the search for better value, according to analysis by the research group Kantar.
Full service restaurants have seen sales decline by 6%in the 12 months to the end of March 2019, and there were almost five million fewer trips to full service restaurantsin the 12 weeks to 24 March compared with the same period in 2018, Kantar has revealed.
Britons aren’t snubbing eating out altogether though – instead, the data indicates that consumers are moving away from more expensive buys to smaller, everyday purchases and experiential outlets such as cafés and coffee shops.
In fact, the fast food market has grown by more than 10 per cent over the past year to account for over a fifth of all sector sales.
Primark leading the way?
“Experience-based dining is now a massive market – every meal needs to be good enough for Instagram at the very least,” said Simon Quirk, consumer specialist at Kantar.
“Over the past year, cafés and coffee shops have targeted high street locations and partnered with other businesses to deliver successful concessions.
“Primark’s flagship new store in Birmingham is a good example. With a huge store front, multiple cafés and exclusives from brands like Disney, people won’t just be visiting the outlet for its fast fashion but for an overall experience which feels more like a day out than a trip to the shops.
“While restaurants will always dominate at special occasions, outlets which offer dining in conjunction with another experience are winning day to day.”
‘Another dark day for the UK high street’
The union Unite described the restaurant closures as “a devastating blow for the chain’s hardworking and loyal workforce”.
Unite spokeswoman Louisa Bull said: “This is another dark day for the UK high street, following hard on the heels of the collapse of Patisserie Valerie early this year.
“Restaurants are not being helped by the current economic uncertainty, although those businesses like Jamie Oliver’s that dashed for expansion in recent years seem particularly precarious.
” As ever, it is the workers at the restaurant and in the supply chain who bear the heavy cost of boardroom decisions.”
Ms Bull said the union, which had some members working for Jamie’s Italian, was seeking “urgent assurances that the staff will be protected and paid all the money they’re owed”.
