Franco Manca Announces Closure of Nine London Restaurants in Cost-Cutting Restructure
The popular sourdough pizza chain Franco Manca is set to close nine of its London restaurants as part of a significant money-saving restructuring effort. This move comes as parent company The Fulham Shore, which also operates The Real Greek brand, faces mounting financial pressures attributed to what it describes as "disproportionately high" taxes and a lack of business rates relief for the hospitality sector.
UK-Wide Restructuring Impacts Over 200 Jobs
Franco Manca previously announced plans to shutter 16 of its more than 70 locations across the United Kingdom, putting over 200 jobs at risk. The company has now initiated a Company Voluntary Arrangement (CVA) process in an attempt to stabilize the financially strained business. This restructuring follows a pattern of challenges within the restaurant industry, coming just two weeks after burger chain Patty&Bun closed four locations overnight.
London Locations Affected by Closures
According to trade publication MCA Insight, the London branches earmarked for closure include:
- Battersea
- Brixton
- Broadway Market
- Bromley
- Chiswick
- Kilburn
- New Oxford Street
- Stoke Newington
- Tottenham Court Road
Outside the capital, additional closures are planned for Bishop's Stortford, Cheltenham, Didsbury, Glasgow, Hove, Lincoln, and Plymouth.
Financial Pressures on Hospitality Industry
Fulham Shore CEO Marcel Khan emphasized that even restaurants "doing all the right things" are vulnerable to multiple government-imposed financial challenges. These include significant increases in national insurance contributions and the national living wage, combined with what the company views as unfavorable VAT rates compared to European counterparts.
"As a result of these external cost pressures, we have to make sure that we are putting our business on a sustainable footing for long-term growth and development," Khan stated. "This is why we have taken the difficult decision to undertake a CVA for Franco Manca, which will see a minority proportion of our restaurants closing where they are no longer sustainable in this cost environment."
Historical Context and Recent Performance
Franco Manca was first launched in 2008 when founders Giuseppe Mascoli and Bridget Hugo took over a unit in Brixton Market. The original restaurant, which relocated to a larger nearby site in 2023, is now among those scheduled to close. The chain's parent company was purchased by Japanese restaurant group Toridoll, with backing from investment firm Capdesia, for £93.4 million in 2023.
Recent financial filings covering April to December 2025 revealed that Fulham Shore's revenue decreased by 5.4 percent year-on-year, with both sales and profits for the group described as disappointing. The company has expressed deep sadness about the closures and pledged to support affected team members throughout the transition process.
The hospitality industry continues to face significant headwinds, with Franco Manca's restructuring serving as the latest example of how economic pressures are reshaping London's dining landscape. The closures reflect broader challenges including rising operational costs, changing consumer spending patterns, and regulatory burdens that are forcing restaurant chains to make difficult decisions about their physical footprints.
