One of the North East’s largest leisure operators is expanding after a £4.5m funding package from HSBC UK.

Newcastle-based Vaulkhard Group - which owns a number of bars and pubs in the city, including Barluga, Redhouse and The Beehive - has purchased two pubs using the funding.

The family-run business has acquired Town Wall and Bridge Tavern, both located in central Newcastle, taking its total number of trading sites to 15.

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All 59 members of staff across both Town Wall and Bridge Tavern will be retained, seeing Vaulkhard Group reach a total of 350 employees.

Vaulkhard Group is now looking to make further acquisitions in the North East over the coming years as it continues to grow its portfolio.

Craig Bell, who recently joined Vaulkhard Group as Finance Director said: “There was a slowing of investment into hospitality businesses throughout, and in the aftermath of, the pandemic.

"We saw this dip in the market as an opportunity to invest in premium sites and we will continue to search for similar opportunities in and around the North East as we look to further grow the business’ “It’s important for us to ensure that our great city retains its reputation as a successful leisure hub.

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But with the challenges of the pandemic, it was difficult to find a bank that aligned with our ideas and aspirations. HSBC UK was always on hand with clear and direct support that has enabled us to grow and we are thankful for that support.”

Stuart McLaren, Relationship Manager at HSBC UK, added: “Newcastle’s hospitality scene has always been strong and we’re proud to work alongside this family business as they invest in it for the future.

"We look forward to seeing the positive impact that their growth will have on the city.”