Buzz Bingo has announced plans to permanently close 26 halls in the UK with the potential loss of 573 jobs after its business was hit by the coronavirus pandemic. The company, which formerly traded as Gala Bingo, is to launch a rescue restructure via an insolvency procedure known as a company voluntary arrangement (CVA), which will allow it to exit unwanted properties and cut rents. Caledonia Investments, which bought the bingo operator in 2015, has said it will put up £22m of extra funds while the firm’s lenders will provide £10m of new debt as part of the restructure deal. Landlords and other creditors will vote on the plan, which involves the closure of sites in Bournemouth, Carlisle, Milton Keynes and Wolverhampton on 3 August. Buzz said it planned to reopen the remaining 91 of its 117 bingo halls from 6 August. All were forced to temporarily close in March as part of the government’s high street lockdown intended to dampen the spread of Covid-19. However, the firm said it would take time for visitor numbers to return to pre-coronavirus levels because physical distancing measures and confidence about socialising indoors would take time to rebuild, particularly among older customers. Buzz Bingo employs 3,400 people, most of whom are on furlough under the government’s job retention scheme. Its chief executive, Chris Matthews, said: “The ongoing pandemic has had far-reaching consequences for the entire leisure and hospitality sector and an immediate and significant impact on our business. “Following a thorough review of our options, the proposed CVA will restructure our retail portfolio to ensure we are well positioned for a return to growth, while adapting to the ongoing, challenging environment as we start to reopen the majority of our clubs.” Full list of clubs closing Chatham, Salford, Salisbury, Antelope Park (Southampton), Banbury, Boston, Bournemouth, Bridlington, Carlisle, Chorley, Cramlington, Derby Foresters, Edinburgh Westerhailes, Harpurhey (Manchester), Hereford, Kilmarnock, Milton Keynes, Oxford Kassam, Stockland Green, Tamworth, Wednesbury, Weymouth, Wigan Robin Park, Wolverhampton, Worcester, Wythenshawe.