Gourmet Burger Kitchen has announced plans to close 17 of its 85 restaurants.

The casual dining chain is the latest to file for a Company Voluntary Arrangement (CVA), risking 250 jobs.

“We are having to take tough but necessary actions to reduce our fixed-cost base and restore long-term profitability,” said Derrian Nadauld, the firm’s managing director.

Gourmet Burger Kitchen is owned by South Africa’s Famous Brands (JSE: FBR), which also owns Wimpy and the bakery Paul.

The difficult trading conditions have led to several dining chains close outlets. Byron has closed 20 of its 67 sites through a CVA.

Jamie’s Italian, Carluccio’s and Prezzo have all used a CVA to shut outlets and cut hundreds of jobs during this year.

Earlier this year Prezzo announced plans to close 94 restaurants, including all 33 outlets in its TexMex chain Chimichanga.

The process for Gourmet Burger Kitchen is being run by Grant Thornton.

Under the terms of the deal, the restaurant chain will close 17 outlets and every effort will be made to redeploy staff.

Matthew Richards, a director at Grant Thornton, said: “The casual dining trading environment in the UK remains extremely challenging, driven by a change in dining behaviour, long-term consumer trends and increased competition.”

“It is important to stress that no restaurants will close immediately and employees and suppliers will continue to be paid on time and in full.”

The chain has said it has worked on restructuring the business operations through reducing head office costs and refurbishing offices.