A historic Norfolk fine-dining restaurant has entered liquidation after its operating company reported debts of almost £390,000, while the venue continues trading under a new business structure.
Restaurant Company Enters Liquidation After Rising Costs
Stoke Mill Restaurant Ltd, based in Stoke Holy Cross near Norwich, appointed liquidators this week after its directors said mounting costs had made it impossible to recover from historic debt.
According to the Eastern Daily Press, the company’s statement of affairs filed with Companies House shows creditors are owed more than £389,000. The largest claim comes from HM Revenue and Customs, which is owed more than £300,000, including around £157,000 in PAYE liabilities and £140,000 in VAT.
The company’s employees are owed almost £50,000, while trade creditors, mainly local businesses, are owed more than £37,000.
Andrew Rudd And Ludovico Iaccarino Explain The Decision
The restaurant is controlled by chef patron Andrew Rudd and Ludovico “Ludo” Iaccarino, whose father Rio Iaccarino founded the venue in 1975.
Mr Iaccarino said the decision to liquidate Stoke Mill Restaurant Ltd was “regrettable”, but said the restaurant would remain open through a new company, Stoke Restaurants Ltd, where he is the sole director.
An investor, Rebecca Goodson, provided £100,000 last year in an attempt to support the business.
“Since Covid, the industry has been on the floor,” said Mr Iaccarino. “We have been trying hard to keep it going and while business is reasonable, you just can never catch up from historic debt.
“The trade is slower than ever. While business looks good from the outside, the costs have gone up astronomically.
“My electric has gone from £1,000 a month to £5,000 a month since Covid.
“The costs are escalating and you can’t put the prices up because we’re in sunny Norfolk.
“We’ve tried our hardest, we’ve pumped money into it and tried to do different offerings, but it simply hasn’t been able to work.”
“We’ve seen lots of other colleagues in the industry sadly close down. It’s a very tough industry at the moment.”
Hospitality Sector Under Pressure Across Norfolk
The difficulties facing Stoke Mill reflect wider pressure across the hospitality industry, where businesses have faced higher energy bills, labour costs and operating expenses since the pandemic.
Mr Iaccarino said the restaurant could continue if further savings were made.
“There is a business here if we can just make the cutbacks,” he added.
“But the increased general, everyday costs have gone to a different level in the last six years. It’s more than quadrupled in most places, which is a crazy amount of inflation in such a short period.”
Other established hospitality businesses in Norfolk have also faced financial challenges. Last month, Caistor Hall closed after chef Mark Poynton shut the Michelin-starred restaurant, while catering and events company Brasted’s entered liquidation in May owing almost £4.7 million.
Historic Stoke Mill Continues Under New Company
The restaurant operates from a restored former mill on the River Tas, a site with a long connection to Norfolk’s food heritage.
In 1814, Colman’s began milling mustard at the location before the building was later transformed into a restaurant by Mr Rudd and Mr Iaccarino in 2013.
The venue’s sister restaurant, Store, received a Michelin star in 2023 before closing in 2024. The former Michelin-starred space was later used for private dining and special chef-led experiences.
The new company, Stoke Restaurants Ltd, is now operating the restaurant after Stoke Mill Restaurant Ltd entered liquidation, with the latter’s creditors listed as owed more than £389,000.
