Rail walkouts hitting bookings, says owner of Coq d’argent

TRAIN and Tube strikes are hitting bookings at top-end restaurants, the owner of Coq d’argent has said, ahead of further walkouts later this month.

D&D London, which also owns restaurants including Bluebird in Chelsea and Skylon on the South Bank, said revenues at its central London sites had been “severely impacted” by the transport strikes in June.

Together with Covid restrictions placed on hospitality last December, the company said around £5m was wiped from its revenues and £3m lost in earnings. In the 15 months to June 2022, it generated £163m in revenues and £17m in profits. The restaurant empire, now known as D&D, was founded by the late Sir Terence Conran in 1991. The group cashed in on the rise of yuppie culture in London and, in particular, around the City. Des Gunewardena, now chairman and chief executive of the company, said its customers are still “spending well” despite the cost of living crisis.

However, he said: “Our revenues in central London have been hit by transport strikes, which will continue to have a negative impact on our business until the dispute is settled.”

The warning comes ahead of further strikes later this month, including walkouts by rail workers on Aug 13, 18 and 20. London Tube workers are separately expected to strike on Aug 19. Footfall in central London plunged almost 30pc during the June strikes at a time when retailers and restaurants are already battling spiralling costs and staff shortages.

Trading in UK restaurants outside London is now “significantly ahead” of pre-covid levels, D&D said.

It issued the trading update amid speculation that it is on the hunt for a buyer, with reports suggesting it could change hands for around £100m. It has not commented on the process.

D&D said its costs were an average of 10pc higher compared with a year ago, with inflation and staff recruitment the two major challenges facing the business. However, D&D said the higher costs were being offset by people spending more in its restaurants.