According to the Manchester Evening News, the company plans to wind down 10% of its retail capacity, or nine out of its 91 clubs across the United Kingdom.
The property earmarked for closure in Manchester is Belle Vue, with the company explaining that COVID-19 lockdowns have suppressed business in places, and the ongoing group operations may not be sustainable unless measures are enacted.
No Bingo as Jobs at Risk Due to Increasing Costs and Declining Revenue
Mounting energy bills and other costs have also contributed to Buzz Bingo’s decision. This means that as many as 151 people may be impacted because of the closure. Buzz Bingo has said that it would support affected employees even if it decides to shut down the properties with no final date set just yet.
The company also noted that part of the issue stemmed from evolving consumer habits, with people just not showing the same confidence, as the cost of living and threat of recessions are perennial worries on their minds.
Shutting down the nine properties, though, is not a desirable outcome, Buzz Bingo assures. Yet, it’s a way to ensure that the remaining employees, some 2,300 people, are cared for, and will have access to employment. Dominic Mansour, Buzz Bingo’s chief executive, argued that similar problems were felt across the entire leisure industry.
While he admitted that has been a slight rebound in numbers, he also noted that the pre-pandemic numbers were far from matched, a knock-on effect from the jump in costs of basic goods.
Inflation has not been kind to consumers and the effects can be felt across Buzz Bingo’s fleet as well. This is not the first time Buzz Bingo had to prune its operations. Back in 2020 when the pandemic was kicking in, the company announced that it is shutting down 26 of its bingo halls permanently, putting 573 jobs at risk at the time.
The company has mostly tried to avoid an outcome such as that, but circumstances have forced its hand on more than one occasion.