Belgian coffee chain Le Pain Quotidien has reportedly shut all but one of its locations in the UK and entered administration, The Caterer reported.
The decision to enter administration is said to have resulted in 250 job losses.
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The coffee chain reportedly stopped its operations on 29 June 2023.
However, its restaurant outlet at St Pancras International Station will continue to trade as it is run by Le Pain Quotidien’s sister firm SPQ Holdings.
Sarah Rayment and Phil Dakin of risk and financial advisory solutions provider Kroll are said to have been appointed as joint administrators of BrunchCo UK, which trades as Le Pain Quotidien in the UK.
The Caterer quoted Rayment as saying: “Pressures on parts of the hospitality and casual dining sector have been well highlighted.
“BrunchCo UK Limited, which is predominantly located in London, has suffered from reduced revenues as a result of decreased footfall in the capital, high rent and increased wage costs.
“As part of the next steps of the insolvency, we will be looking to realise value from the company’s leasehold interests and other assets.”
Kroll noted that the restaurant chain has witnessed a drop in sales due to reduced footfall in London.
The increasing rental cost is also said to have contributed to the closure of the restaurant locations.
