Focus Diy Uk

Jobs lost as store shuts

HALDANES supermarket in Belper has closed this week with the loss of 40 jobs.

It is the second jobs blow to hit the town in two weeks after it was announced that Belper’s Focus DIY store was to close with the lose of 22 jobs.

In a move described as “regrettable” by the leader of Amber Valley Borough Council Cllr Stuart Bradford, Haldanes on King Street ceased trading last night, June 14, at 8pm.

A sign in the store window from staff said they were upset at the situation. It added that all workers in the shop had been made redundant and that some staff members had worked on the premises for 30 years.

All but four of the 26 Haldanes stores across the UK closed down as the owners of Haldanes Stores Limited made the decision to seek an administration order for the business in order to protect their position.

The Belper store opened only in January last year and was the fourth supermarket in the town alongside Morrisons, the Co-op, and Iceland.

But now a war of words and legal action has erupted between Haldanes and the Co-operative Group, which owns the King Street premises and was renting it to Haldanes.

The Co-op had acquired the King Street store when it bought out the Somerfield chain, opting to rent out the premises to Lincolnshire-based Haldanes as it already has a large Co-op store in the town on nearby Strutt Street.

Haldanes said in a statement this week it had issued proceedings in the High Court in which it is claimed the Co-operative Group had “materially breached key terms of the agreements it and the Co-op entered into and under which it acquired the 26 stores, and also that the Co-op’s actions amount to breaches of undertakings the Co-op gave to the Office of Fair Trading. Haldanes alleges that these breaches have severely damaged the business it acquired from the Co-op”.

Arthur Harris, chief executive of Haldanes, said: “The directors and I are devastated at having to take this step and our thoughts are with our employees in Belper who find themselves facing an uncertain future.

“We would like to publicly thank them for their efforts and loyalty during their time with Haldanes.

“We have made countless attempts to negotiate with the Co-operative Group Limited over the last nine months, all to no avail.

“I am absolutely distraught that it has come to this.”

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However, the Co-op has denied all the allegations. A spokesperson said: “The Co-operative Group regrets that Haldanes has taken the decision to seek an administration order.

3000 workers face axe at Focus DIY - UK News - News - Birmingham Post

Another 3,000 retail jobs are facing the axe after the administrator for Focus DIY failed to find a buyer for the collapsed business.

Ernst & Young (E&Y) will launch a closing down sale across the estate this weekend as it begins the process of shutting the 123 stores it has failed to sell since its appointment on May 5.

E&Y has so far offloaded 55 shops and is hopeful that more can be sold on a piecemeal basis, but with weak consumer confidence stifling demand it has failed to secure a deal for the whole operation.

The collapse also leaves customers facing uncertainty as some 10,000 orders have yet to be delivered. The administrator said it was dealing with customers on a "case-by-case" basis.

E&Y, which has been trading the business as normal since its appointment, said some stores could remain open for several weeks while stock is sold.

The administrator safeguarded 556 jobs after it sold 11 stores to discount homewares chain B&M Bargains and 13 stores to Wickes owner Travis Perkins. Both retailers agreed to offer jobs to staff working in the stores. Several hundred workers at 31 stores bought by B&Q owner Kingfisher will have to reapply for their jobs when the stores are converted later this year.

A total of 3,264 staff currently face redundancy, including those who were working at stores bought by Kingfisher, although some posts may still be saved if E&Y manages to sell additional properties. Another 100 employees at the company's Crewe head office have already lost their jobs.

Focus fell into administration earlier this month after it was hit by low consumer confidence and a weak housing market, which affected sales and margins. It has struggled in recent years against tough competition from rivals B&Q and Wickes.

Joint administrator Simon Allport said: "UK retailers are facing one of the most challenging retail environments in recent times and the DIY sector has become highly competitive, with only the strongest players being able to thrive and survive."

A team is dealing with demands for outstanding customer orders and those who paid by credit card may be eligible to receive a refund through their insurance policy. Customers can call 0800 436 436 or 01270 503454.

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