Hereford Pizza Hut saved after firm collapses into administration

JJR Associates Ltd, which ran Pizza Hut Delivery outlets in Hereford, Worcester, Redditch and Chippenham, entered administration earlier this month after struggling with "challenging trading conditions" and rising costs.

Administrators said "immediately upon appointment", three of the four sites were sold through a pre-pack deal to an unconnected company.

The move saved 48 jobs and means the Hereford branch, in the old Treacle Mine pub in St Martin's Street opposite Asda, will continue trading as normal.

But they were unable to save the Chippenham outlet, which has closed with the loss of 11 jobs.

Leicester-based administrator Situl Raithatha, of Springfields Advisory, said the sale of part of the business was "the best outcome for the various stakeholders" after JJR Associates hit "cash flow difficulties".

"The company experienced significant financial difficulties due to a combination of challenging trading conditions and rising operational costs," he said.

"We are pleased to have completed the sale, which has helped secure the future of a significant number of employees."

A spokesperson for Pizza Hut said the branches in Hereford, Worcester and Redditch would continue operating without interruption.

Customers should see "no change" to day-to-day operations, the company added.

It comes a year since the Pizza Hut restaurant at the roundabout at the top of Edgar Street in Hereford closed.

It shut when American hospitality giant Yum! Brands, which owns the global Pizza Hut business, bought the UK restaurant operation in a pre-pack administration deal, with 64 other sites saved.