Pub chain Marston's cuts 2,150 jobs, blaming government coronavirus restrictions

Redundancies an ‘inevitable consequence’ of latest restrictions, says brewery and pub group

(PA)

Pub chain Marston's is making 2,150 furloughed workers redundant after the government announced new coronavirus restrictions.

The pub and brewery group blamed recent measures to tackle a surge in Covid-19 cases, including a 10pm curfew for hospitality venues and a three-tier lockdown system that means sites not serving food must close in high-risk areas.

The company, which employs 13,500 people across the UK, called for “urgent” help from the government to protect jobs in light of the new rules.

Announcing the job cuts on Thursday, Marston’s said: “The introduction of these further restrictions and guidance affecting pubs is hugely disappointing in view of a lack of clear evidence tying pubs to the recent increase in infection levels, and our own data, which suggests that pubs are effective in minimising risks.”

The company said it will also launch a further cost-cutting plan by the end of the year. Eight of Marston's’ 21 pubs in Scotland are closed as well as further sites in Liverpool.

Ralph Findlay, chief executive of Marston’s, said: “The additional restrictions which have been applied across the UK most recently present significant challenges to us and will make business more difficult for a period of time.

“I very much regret that the consequence of this is that the jobs of around 2,150 of our colleagues will be impacted, but it is an inevitable consequence of the limitations placed upon our business.

“We will be looking at our cost base further in the coming weeks.”

Unite regional officer Rick Coyle said the news from was “another nail in the coffin” of the struggling hospitality industry. The union renewed its call for further measures to support the sector with more job losses expected as the furlough scheme ends in two weeks .

“Thousands of jobs across the UK are depending on such a package being delivered urgently by chancellor Rishi Sunak, otherwise the UK’s hospitality sector will become a waste land," Mr Coyle said.

London is to move into the “high” tier of Covid restrictions from midnight on Friday evening, barring the capital’s 9 million residents from meeting other households in their homes or other indoor spaces such as pubs.