Labour tax inspections cited as cause after pub chain’s downfall leads to 591 redundancies

Hundreds Lose Jobs as Major Pub Group Enters Administration

Revel Collective, the operator behind Revolution Bars, Revolucion de Cuba, and Peach Pubs, has entered administration, resulting in the loss of 591 jobs. The move comes as financial experts point to increased tax burdens under the Labour government as a key factor.

On Tuesday, Revel Collective announced that FTI Consulting had been appointed to oversee the sale of parts of the business to competitors. Neos Hospitality, which owns several pubs and nightclubs across the UK, will take over the majority of Revel’s venues. Meanwhile, Coral Pubs, led by former Whitbread chief Ted Kennedy, has acquired almost all Peach Pubs locations.

However, 21 sites—including those in Leeds, Liverpool, Manchester, and Sheffield—will close immediately.

Despite the closures, 1,582 jobs have been preserved out of Revel’s workforce of 2,200, which had already been reduced from over 3,000 employees in 2024.

Previously known as Revolution Bars Group, Revel Collective filed for administration just a day before the government announced a support package for pubs.

Administrators cited ongoing economic difficulties, highlighting the impact of increased employer National Insurance contributions and a higher minimum wage introduced by Rachel Reeves. Additional pressure came after the Chancellor raised business rates in recent months.

These changes have sparked fears of widespread pub closures, prompting government intervention. In response to industry concerns, Treasury minister Dan Tomlinson revealed new tax relief measures for pubs, including a 15% reduction in business rates for every pub in England starting in April, with rates to remain frozen in real terms for the next two years.

Unfortunately, this assistance arrived too late to prevent significant job losses at Revel. The company had previously warned about the negative consequences of Labour’s tax increases on the hospitality sector.

After the Chancellor’s record tax-raising Budget in 2024, Revel’s CEO Rob Pitcher criticized the higher taxes, calling them “regressive” and arguing they offered no clear path to growth for hospitality businesses.

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