UK-based restaurant and lifestyle shop Petersham Nurseries has closed its two central London restaurants, attributing the decision to a combination of the impacts of Brexit, rising rents and recent national economic policies.
La Goccia and The Petersham, located in central London in Covent Garden’s Floral Court, ceased operations on Sunday 16 February 2025 after six years, as reported by The Standard.
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The management cited difficulties in balancing revenues with escalating fixed property costs, debt, business rates and a surge in staff expenses.
They also pointed to the adverse effects of the October 2024 Budget.
Lara Boglione, who leads Petersham Nurseries and is the daughter of its founders, stated that the decision was taken after exploring various options and “in view of the significant cost challenges they have faced, in addition to legacy issues relating to the trading impact of Covid and Brexit”.
The restaurant company told the Telegraph that Brexit was the cause of their “inability to recruit people with the right experience and skills”.
Petersham UK, responsible for running the Covent Garden restaurants, had already indicated plans to enter administration in High Court filings as part of efforts to renegotiate rental terms with their landlord, Shaftesbury Capital.
The company faced an annual financial burden of £1.2m ($1.51m) in rent, rates and service charges.
The shuttering of The Petersham and La Goccia does not affect the broader Petersham Nurseries enterprise, which encompasses a garden nursery, a lifestyle shop and a Michelin Green-starred eatery in the London borough of Richmond.
Buchler Phillips is handling the liquidation process for the affected restaurants.
Buchler Phillips liquidator Jo Milner stated: “This is clearly disappointing for La Goccia and The Petersham, which, in other circumstances, could once again be a stable business, in line with others in the Petersham Nurseries group.
“It’s a very difficult landscape: last year almost 3,500 hospitality businesses became insolvent against a background of tight consumer spending and growing staff costs as a result of the Budget.”
