BrewDog has announced the closure of 10 bars across the UK, including its flagship site in Aberdeen, citing an 'extremely difficult' environment for the hospitality industry. The affected venues are located in Aberdeen, Brighton, Camden, Dundee, Leeds North Street, Oxford, Sheffield, Shepherd's Bush, Shoreditch and York. The closures are scheduled to take place on Saturday.
Chief executive James Taylor informed staff via email that the bars were no longer viable 'due to their size, location and other limiting factors'. He stated that 'there is no realistic prospect of making these venues commercially viable' and that keeping them open would 'put pressure on the wider business'. The company said it is entering a consultation process lasting at least two weeks for affected employees, with hopes to redeploy many across the BrewDog network.
The news comes as the hospitality sector faces rising costs from higher national insurance contributions and increases to the living wage. BrewDog's latest accounts showed revenue grew from £321m to £355m in the year ending 2023, but pre-tax losses widened from £30m to £59.2m due to higher costs and write-downs on underperforming bars.
BrewDog, founded in 2006 in Aberdeenshire, has expanded significantly in recent years, employing over 3,000 people globally in 2023. The closures reflect broader challenges in the industry, with over 400 pubs in England and Wales closing last year, bringing the total below 39,000 for the first time.
