Fast food giant KFC to expand in the UK, aiming to create over 7,000 jobs and open 500 new restaurants, with a £1.5 billion investment.
KFC Unveils £1.5bn Investment Plan for UK and Ireland Expansion
Fast-food giant KFC has revealed ambitious expansion plans for the UK and Ireland, aiming to create over 7,000 jobs and open 500 new restaurants by 2035. The company intends to invest approximately £1.5 billion in this growth strategy.
A significant portion of the investment, amounting to £466 million, will be allocated to opening flagship sites and drive-thrus in key locations such as Ireland and North West England. In addition, more than 200 existing KFC restaurants will undergo upgrades. The remaining investment of about £583 million will cover the creation of the new jobs.
KFC plans to strengthen its relationships with UK and Irish suppliers, committing £404 million to this effort. Notable companies set to benefit from this move include Pilgrim's Europe, McCormick, Nature's Way, and Fourth.
The company expects this investment to contribute an additional £169 million in direct gross value added (GVA) to the UK economy. This will primarily be achieved through the construction of new restaurants, hiring more people, increasing spending with UK suppliers, and enhancing the earning and spending potential of employees and partners.
Rob Swain, the general manager of KFC UK & Ireland, stated, "We've seen an unparalleled demand for freshly prepared fried chicken. As the market leader, we are well-positioned to seize this opportunity and commit to the UK&I with this major investment."
Kate Nicholls, the CEO of UKHospitality, added, "The hospitality sector has a unique ability to stimulate economic growth and employment. KFC's significant announcement is a testament to this potential."
To celebrate its 60-year presence in the UK and Ireland, KFC has released its first economic and community impact report. According to the report, KFC contributes £1.10 billion in annual economic contribution to the UK economy and spends £856 million annually with UK-based suppliers. Over the last six decades, the brand is estimated to have contributed £11.6 billion to the UK economy.
In 2024, it was reported that Yum! Brands, the owner of KFC and Pizza Hut, returned to profitability after a successful year for its brands. The group's European division reported a pre-tax profit of $317.1 million for 2023, marking a significant improvement from the prior year's pre-tax loss of $300 million. It is important to note that Yum! Brands is a holding company and does not generate a turnover. Its profit was generated through the revaluation of its investment in Yum! Restaurants Europe and dividends from that firm and Pizza Hut Europe. For the same financial year, KFC itself generated a turnover of £294.5 million, with a pre-tax profit of £59.1 million.
The investment plan by KFC, worth £1.5 billion, will not only lead to the opening of 500 new restaurants and creation of over 7,000 jobs, but also strengthen its financial ties with UK and Irish suppliers, investing approximately £404 million. This growth strategy is anticipated to contribute an additional £169 million in direct gross value added (GVA) to the UK economy.
