Cafe chain Le Pain Quotidien facing collapse - report

Bakery and café chain Le Pain Quotidien is on the brink of collapse, according to reports, putting around 500 UK jobs at risk

The Belgian-owned company, which has 26 sites in the UK, is understood to be considering calling in administrators. Sky News, which broke the story, said they could be appointed “as soon as this week”.

An emergency sale process is already underway, overseen by consultancy firm Alvarez & Marsal, with a deadline for offers of Wednesday, Sky added.

The government announced on 23 March a series of stringent measures intended to contain the coronavirus outbreak, including shutting non-essential shops and leisure venues, and telling people to stay indoors. The lockdown was extended for another three weeks on 16 April.

Chancellor Rishi Sunak has announced a series of measures intended to help businesses stay afloat during the lockdown, but many companies – especially those in the leisure sector – have been hit hard.

Last month, the already struggling Italian restaurant chain Carluccio’s called in the administrators after a sustained period of tough trading, while burger business Byron has appointed KPMG to review its options. Wagamama-owner The Restaurant Group, meanwhile, has said that 61 of its 80 Chiquito restaurants would not reopen after lockdown and permanently closed down 11-strong Food & Fuel London pub chain, leading to the loss of around 1,500 jobs.

Alvarez & Marsal has yet to comment.