Gordon Ramsay Restaurants Cut 200 Jobs as Hospitality Industry Faces Crisis
Gordon Ramsay’s restaurant group has announced significant workforce reductions amid ongoing challenges in the hospitality industry. The organization has cut nearly 200 jobs, representing a 10 percent decrease in its staff, with overall numbers dropping from 1,344 to 1,168 employees. These cuts come as losses for Ramsay’s businesses reached £13.2 million.
Hospitality Industry Overview
The UK hospitality sector is facing a severe crisis, having lost 69,000 jobs between October 2024 and May 2025, according to UKHospitality. This represents a drastic turn from the previous year when 18,000 new jobs were created.
Rising Costs and Budget Pressures
- The recent Budget introduced an additional £3.4 billion in costs for businesses across the sector.
- Government policies have raised National Insurance contributions from 13.8% to 15%.
- A survey indicated that 70% of hospitality businesses are planning further staff reductions.
This confluence of financial strain and policy changes has led to a challenging environment for restaurants and bars. Research from CGA and AlixPartners reveals that two licensed venues are closing permanently each day, with independent restaurants suffering a nearly 23 percent decline compared to pre-pandemic levels.
Gordon Ramsay’s Adaptation Strategies
In the face of these challenges, Ramsay’s group is adapting its operations. The chef commented on shifting customer preferences, noting that modern diners prefer less interaction during the ordering process. As a response, his restaurants are scaling back front-of-house staffing in casual dining venues to minimize costs.
Future Plans Amid Challenges
Despite the current difficulties, Ramsay’s group is poised for expansion. Plans are in place to open a new Bread Street Kitchen in London next year and to explore franchise opportunities in the United States, Saudi Arabia, and India.
However, consumer prices are rising as well. A Christmas Day meal at the Michelin-starred Petrus now costs £325 per person, an increase of £35 compared to two years ago. Andy Wenlock, CEO of Gordon Ramsay Restaurants, emphasized the group’s commitment to entrepreneurship during these uncertain times.
