A long-established carpet manufacturer has ceased trading and entered administration following a sharp drop in sales and economic pressures.
The company, Adam Carpets, based in Kidderminster, recently reported a decline in footfall and a negative impact from the UK government's autumn budget. Administrators Joph Young and Conrad Beighton, of Leonard Curtis, have been appointed to manage the process, stating that difficult market conditions had put significant strain on the business.
The administrators confirmed they are focused on "maximising value for the benefit of creditors" and are actively marketing the firm's assets, including its former trading premises on a 6.5-acre site.
Managing Director Chris Adam expressed sadness over the closure, attributing it to a lack of consumer confidence and rising taxes. 'Despite the best efforts of all our colleagues, UK consumers simply do not have the confidence in their finances to buy enough of our high-quality wool-rich carpet to make our business viable right now.' He also cited the "significant increase in taxes" in the government's budget as a key factor.
All 50 employees have been made redundant, with support being provided to help them transition. An employee rights agent will be engaged to assist with claims.
Source: www.bigfurnituregroup.com