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PureGym 'burning £4m a week' during lockdown, will continue to lobby for gyms to be classed as essential service
POSTED 06 Nov 2020 . BY Tom Walker
Cobbold said that the industry had tried – and would continue to try – to get the government to class gyms and leisure centres as essential services Credit: PureGym
PureGym is burning £4m of cash a week through its UK business, due to the UK government's decision to shut gyms in England as part of "Lockout 2" measures.

Speaking on Sky News, PureGym CEO Humphrey Cobbold said he expects the figure to come down slightly, as easing measures are implemented.

"We're burning about £4m a week at the moment," Cobbold said.

"This will come down to about £2.5m to £3m a week with the mitigation activity and contributions from the government, such as the furlough scheme and a rates holiday – which, I have to say, we are very grateful for," he continued.

"We're also looking at what we are doing with our landlords. We're going to ask them to share some of the pain with us, which is part of the work which is underway currently.

"Since the lockdown was announced, we've been ensuring we close down our facilities safely, so they're as ready to reopen as possible for when we're allowed to – in December or thereafter."

In September, PureGym – which is now the second-largest fitness operator in Europe – secured a £100m cash injection from shareholders to help deal with the opportunities and threats posed by COVID-19. The move took the group's borrowings to around £480m.

Cobbold said the industry is fighting to convince the UK government to class gyms and leisure centres as essential services, a move which would allow them to remain open alongside other services such as doctor's surgeries, dentists and food suppliers.

"We've made the case repeatedly to ministers over the last few weeks, most recently by writing to the Prime Minister and other key ministers as soon as evidence of the lockdown emerged.

"So far, I'm afraid, we haven't been able to convince them, but that won't stop us from continuing to try."

Cobbold stressed that the motivation to make gyms an essential service is "not just a business one" – but concerns the state of public health.

"The case for gyms to become essential services is really being made by our members," said Cobbold, "We've been inundated by requests from them, pleading us to keep asking the government to allow us to stay open.

"Some of them are really heart-rendering. Ex-military guys who suffer from PTSD, for example, asking us to keep trying to keep the doors open, because the gym is such an important part of their process of rehabilitation and of mental health.

"So the case isn't just ours to make, it's the millions of people out there, who are regular users of gyms and facilities and I do think the government's decision on this is a poor one for the health and wellbeing of the nation."

• To read a full interview with Humphrey Cobbold in the latest issue (9/2020) of HCM, click here.
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Jobs    News   Products   Magazine
NEWS
PureGym 'burning £4m a week' during lockdown, will continue to lobby for gyms to be classed as essential service
POSTED 06 Nov 2020 . BY Tom Walker
Cobbold said that the industry had tried – and would continue to try – to get the government to class gyms and leisure centres as essential services Credit: PureGym
PureGym is burning £4m of cash a week through its UK business, due to the UK government's decision to shut gyms in England as part of "Lockout 2" measures.

Speaking on Sky News, PureGym CEO Humphrey Cobbold said he expects the figure to come down slightly, as easing measures are implemented.

"We're burning about £4m a week at the moment," Cobbold said.

"This will come down to about £2.5m to £3m a week with the mitigation activity and contributions from the government, such as the furlough scheme and a rates holiday – which, I have to say, we are very grateful for," he continued.

"We're also looking at what we are doing with our landlords. We're going to ask them to share some of the pain with us, which is part of the work which is underway currently.

"Since the lockdown was announced, we've been ensuring we close down our facilities safely, so they're as ready to reopen as possible for when we're allowed to – in December or thereafter."

In September, PureGym – which is now the second-largest fitness operator in Europe – secured a £100m cash injection from shareholders to help deal with the opportunities and threats posed by COVID-19. The move took the group's borrowings to around £480m.

Cobbold said the industry is fighting to convince the UK government to class gyms and leisure centres as essential services, a move which would allow them to remain open alongside other services such as doctor's surgeries, dentists and food suppliers.

"We've made the case repeatedly to ministers over the last few weeks, most recently by writing to the Prime Minister and other key ministers as soon as evidence of the lockdown emerged.

"So far, I'm afraid, we haven't been able to convince them, but that won't stop us from continuing to try."

Cobbold stressed that the motivation to make gyms an essential service is "not just a business one" – but concerns the state of public health.

"The case for gyms to become essential services is really being made by our members," said Cobbold, "We've been inundated by requests from them, pleading us to keep asking the government to allow us to stay open.

"Some of them are really heart-rendering. Ex-military guys who suffer from PTSD, for example, asking us to keep trying to keep the doors open, because the gym is such an important part of their process of rehabilitation and of mental health.

"So the case isn't just ours to make, it's the millions of people out there, who are regular users of gyms and facilities and I do think the government's decision on this is a poor one for the health and wellbeing of the nation."

• To read a full interview with Humphrey Cobbold in the latest issue (9/2020) of HCM, click here.
RELATED STORIES
FEATURE: Interview: Humphrey Cobbold


PureGym is the second largest operator in Europe. Its CEO talks about expansion and influencing government policy
PureGym considers legal action as UK fitness industry fights back against forced closures in Liverpool


Gym and health club operators with sites in Liverpool, UK, have been left "astounded" at the government's "retrograde step" in ordering gyms to close in the city, as part of its controversial new three-tier COVID-19 control system
UK government's "Dad's Army" shambles could result in legal action over gym closures


The UK government is likely to face legal challenges from gym operators following the revelation that new laws drafted to enforce the three-tier system will automatically force gyms and leisure centres to close in tier 3 areas.
Letter to Boris: give us a central role in COVID-19 recovery, says activity sector


More than 100 sport and physical activity bodies have sent a letter to UK Prime Minister Boris Johnson, urging him to give the sector a central role in the nation’s COVID-19 recovery plans.
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Sport England’s Active Lives insight finds record activity levels, but enduring health inequalities
While British adults are the most active they’ve been in a decade, health inequalities remain with the same groups missing out, according to Sport England’s latest Active Lives Adults Report.
Nuffield Health calls for National Movement Strategy as research shows decline in fitness levels among some consumers
Nuffield Health’s fourth annual survey, the Healthier Nation Index, has found people moved slightly more in 2023 than 2022, but almost 75 per cent are still not meeting WHO guidelines.
Immediate rewards can motivate people to exercise, finds new research
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Experience the pinnacle of fitness and luxury at the premier industry event, Sibec EMEA, set against the breathtaking backdrop of the Fairmont Monte Carlo this Autumn. [more...]
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+ More catalogues  

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+ More directory  
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