Revel Collective Closes 21 Venues, Leaving 591 Jobless Amid Economic Struggles

- Revel Collective, owner of Revolution bars, has shut 21 venues, resulting in 591 job losses.
- The closures come after the company fell into administration, citing challenging economic conditions.
- FTI Consulting has been appointed as administrators and has secured the future of 41 sites, preserving over 1,500 jobs.
- The closures include popular locations across the UK, from Cardiff to Manchester.
- Revel Collective's struggles highlight broader issues in the hospitality sector, exacerbated by increased taxes and operational costs.
In a significant blow to the hospitality industry, Revel Collective, the owner of the well-known Revolution bar chain, has announced the immediate closure of 21 venues, leading to the loss of 591 jobs. The company, which also oversees Revolucion de Cuba and Peach Pubs, fell into administration following a series of financial challenges. This decision reflects ongoing difficulties faced by many businesses in the sector, particularly in light of rising operational costs and increased taxation.
The Revel Collective, previously recognized as Revolution Bars Group, has been a fixture in the UK hospitality scene since its establishment in 1991. The company initially gained popularity for its vibrant atmosphere and innovative cocktail offerings, catering primarily to a youthful demographic. However, in recent years, it has struggled to maintain profitability amid what it described as a "continued period of external challenges." After putting itself up for sale in October, the company faced a harsh reality as it entered administration, leaving shareholders with nothing after the sale of its assets.
FTI Consulting, the firm appointed to manage the administration process, revealed that two deals had been struck to secure the future of 41 other sites, preserving 1,582 jobs. The Revolution and Revolucion de Cuba brands have been purchased by Neos Hospitality Group, while the remaining Peach Pubs have found a new home with the Coral Pub Company. This outcome, while beneficial for some employees and locations, underscores the stark reality of the closures affecting numerous communities.
Among the closures are notable venues located across various regions, including Revolution bars in Cardiff, Glasgow, and Manchester, as well as Revolucion de Cuba bars in cities like Liverpool and Derby. The decision to shutter these establishments reflects a broader trend in the hospitality sector, which has been grappling with a surge in closures that has become increasingly alarming. The impact of these closures extends beyond just the loss of jobs; it disrupts local economies, reduces consumer choice, and diminishes the social fabric of communities that rely on these spaces for gathering and entertainment.
Recent data from consumer research firm NIQ indicates that the UK hospitality industry is facing a crisis, with 382 businesses closing their doors in the final quarter of 2025 alone-an average of more than four closures each day. By the end of 2025, the UK was left with approximately 98,914 hospitality sites, a stark reminder of the challenges that have compounded for pubs, restaurants, and other establishments in recent years. This trend is not limited to the Revel Collective; it reflects a systemic issue affecting the entire industry, exacerbated by economic pressures that have been mounting over time.
Karl Chessell, a director at NIQ, pointed to "relentless increases in operating costs" as a significant factor impacting the sector. Many hospitality firms have voiced concerns that the situation will worsen with upcoming changes to business rate calculations scheduled to take effect in April. These changes, announced in the November Budget, have sparked considerable backlash from industry groups, who fear that without government intervention, mass closures could follow. The hospitality sector has historically been sensitive to economic fluctuations, and the current landscape is no exception. The combination of rising costs, coupled with shifting consumer preferences, has created a perfect storm for many establishments.
The Revel Collective has been vocal about the challenges it has faced, particularly in relation to increased duties on spirits, which the company claims will cost it over 4 million annually. With the hospitality sector already under strain from rising costs, the new taxation policies introduced by the Labour government have intensified these pressures. The company's attempts to implement a turnaround plan, which included shutting down 15 loss-making bars, ultimately proved insufficient to reverse its fortunes. This highlights a critical issue within the industry: the need for adaptive strategies that can withstand economic pressures while still appealing to consumers.
This situation at Revel Collective is not an isolated incident; it mirrors a growing concern within the hospitality industry about sustainability and profitability in an increasingly competitive market. Many establishments are struggling to adapt to the new economic landscape, characterized by inflationary pressures and changing consumer behaviors. The rise of online delivery services and the shift towards home dining have further complicated the traditional business models that many restaurants and bars have relied upon for decades.
As the Revel Collective navigates this difficult transition, the ramifications of its closures will be felt not only by employees but also by local communities that rely on these venues for social interaction and economic activity. The loss of jobs and the shuttering of popular bars and pubs serve as a reminder of the fragility of the hospitality sector in the face of external challenges. The closures also raise questions about the future of urban nightlife and the availability of spaces for social engagement, particularly in cities that have seen a proliferation of such venues over the years.
The closures mark a significant chapter in the ongoing narrative of the UK's hospitality landscape, which has been reshaped by a multitude of factors, including legislative changes and economic fluctuations. Industry leaders are calling for a comprehensive support package from the government to address the mounting challenges faced by hospitality businesses across the country. This includes calls for more favorable tax policies, financial assistance for struggling businesses, and a more supportive regulatory environment that can help foster growth and stability.
As Revel Collective and similar companies grapple with these issues, the future of many establishments hangs in the balance, with the hope that renewed support and strategic planning can help stabilize the sector. The struggles faced by the Revel Collective are indicative of a wider crisis that requires urgent attention and action to prevent further job losses and closures in the hospitality industry. The need for a collaborative approach involving stakeholders from various sectors, including government, business, and community organizations, is crucial in addressing the challenges that lie ahead.

