The Empire Cinemas chain has entered administration, leading to the loss of 150 jobs and the closure of six cinemas.
Eight of the 14 cinemas in the group – under the Empire Cinemas and Tivoli brands – will remain open.
But the locations that have been closed with immediate effect are:
• Bishop’s Stortford
• Catterick Garrison
• Sunderland
• Swindon
• Walthamstow
• Wigan
The already closed cinema at Sutton Coldfield will not reopen, the administrators from accounting firm BDO announced.
Any advance tickets bought for the closed cinemas will be refunded, the administrators said.
Gift cards and guest passes will continue to be accepted at the open cinemas.
Sites to remain open are located in:
• Birmingham
• Clydebank
• High Wycombe
• Ipswich
• Sutton
• Bath
• Cheltenham
The administrators say they are seeking a buyer and have blamed the financial impacts of the COVID-19 pandemic, inflation and the cost of living crisis for the closures.
A restructuring partner at BDO, assigned as an administrator, said: “The well-publicised challenges for the leisure sector from the impact of COVID-19, rising inflation and the cost of living crisis have significantly affected the company’s business.”
Companies amassed large amounts of debt over the pandemic years as lockdowns barred normal trading.
Overall prices have also been rising after post-COVID supply problems pushed costs up and the invasion of Ukraine resulted in record energy prices.
The latest rate of inflation was stubbornly high at 8.7%.
Empire Cinemas Group is not the only movie theatre chain to struggle.
The world’s second-largest cinema operator, Cineworld, is set to exit bankruptcy this month.
The British chain, which is listed on the London Stock Exchange, filed for bankruptcy in the United States last year as it was weighed down by debt and suffered weak audience numbers as it emerged from the pandemic.
Read more:
Cinepolis executive Acuna screened for top Cineworld job
London-listed Cineworld prepares to file for administration
Throughout the bankruptcy arrangement, its cinemas operated as normal and last month Cineworld ended plans to sell its UK, US and Ireland businesses, but efforts to auction operations elsewhere continue.
A total of 437 staff are employed by the Empire Cinemas Group in England and Scotland.
The 150 staff affected by job losses will be made redundant.
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