More than 1000 people have been made redundant at TGI Fridays and 35 restaurants have been closed, despite a rescue deal for the chain.

In the East Midlands these include Derby, Leicester and Lincoln.

Meanwhile, a rescue deal saved another 51 sites including Nottingham.

It comes after the previous owners fell into administration in September.

However, the chain will remain on UK high streets after 51 restaurants were acquired by Breal Capital and Calveton UK.

It means that nearly 2,400 jobs have been saved across the US-themed restaurant and cocktail bar.

But joint administrators at Teneo said 35 restaurants were not included in the sale and have been closed immediately, resulting in 1,012 redundancies.

Chief executive of the US themed-chain, Julie McEwan, says it’s been a ‘very challenging period for the casual dining sector’ – and insists they’re doing all they can to support affected staff. 

New private equity owners Breal and Calveton jointly own upmarket restaurant chain D&D London, and between them have had investments in Byron Burger and wine bar chain Vinoteca.

Trade union Unite said on X, formerly Twitter, that it had been hearing from members who had been “furiously contacting” the hospitality organisers in response to the immediate closures.

Unite reported that staff had been shut out of restaurants, with padlocks on the doors changed, or given no form of redundancy consultation, while others were invited to a video call with members of the head office with one hour’s notice.

Other workers said they had not been told whether or not they would be paid, according to the trade union.

TGI Fridays’ previous UK operator, Hostmore, appointed administrators in September and had been hoping to secure a buyer for the chain.