Check in with the 18 year old in your life; they just got some bad news. Rekom UK, a nightclub operator who owns dozens of clubs across Britain, including the Pryzm and Atik brands, is going into administration.
On Monday (January 15) the company announced that following a difficult 12 months, they were being forced to restructure and assess which of its 46 locations are still making money. The cost-of-living crisis has been a death knell for many businesses, who are finding it difficult to keep up with rising costs as people are spending less on non-essentials.
Peter Marks, the chairman of Rekom, revealed in an announcement: ‘[The] government's Autumn 2023 Statement… meant that we had to find an extra £2m in wages. Not only that, the cost of goods and energy have also seen inflation-busting rises. This has led to us having to accept that the group cannot continue in its current structure.’
Despite this, he also said: ‘Our Nordic brands, Heidi’s Bier Bar in Birmingham and Cardiff and Proud Mary in Cardiff and Swansea have outperformed all expectations.’
The company has not yet announced which specific sites will be at risk. However, it has said that some of its bigger venues could be at risk.
The chain is not the first to announce a series of closures for 2024. Have a look at our full list of high street shops closing doors this year for a full lowdown on who is closing what and where.
Did you see that Papa Johns is also closing some of its stores?
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