Carpetright closed

Tuesday 23 July 2024

Guernsey's Carpetright store and its employees are victims of the company's financial troubles with the local shop not included in the number bought out by the Tapi Group.

Tapi Carpets and Floors Limited yesterday announced it had bought 56 of Carpetright's sites - covering 54 shops and two logistics hubs.

Carpetright - a British retail chain founded in 1988 selling carpets, flooring, and beds, as a subsidiary of Nestware Holdings Ltd - had owned 273 stores and employed 1,898 people.

1,018 of those people have lost their jobs with immediate effect.

Phonecalls to the Guernsey shop went unanswered this morning, with a visit to the Admiral Park store confirming that it is closed.

Pictured: The announcement shared on the Carpetright website today.

For those employees who have lost their jobs, including an unconfirmed number in Guernsey, PwC said the administrators are "working closely with the Redundancy Payments Service (RPS) to ensure that those affected receive their statutory entitlements as soon as possible".

Tapi has also pledged to collaborate with other retailers "to ensure their job applications receive priority and funding workshops aimed at improving employability skills".

It is unclear at this time whether either of these assurances will benefit the employees who have lost their jobs in Guernsey.

For any customers with outstanding orders made through the local Carpetright store, the administrators have said they won't be fulfilled.

"...it is recommended that affected customers contact their payment card provider about the possibility of obtaining a refund," PwC advised today.

Pictured: Tapi advice to customers who have recently made purchases through Carpetright. it can be read in full HERE. 

Zelf Hussain, Rachael Wilkinson and Peter Dickens of PwC have been appointed as Joint Administrators of Carpetright Ltd.

The sale of 56 sites to Tapi secured the jobs of 308 people.

In a statement, PwC said some of those people are employed at the Carpetright's Head Office in Purfleet and will be involved in winding down operations.

Zelf Hussain, Joint Administrator, said: “Carpetright has fallen victim to challenges facing many retailers, especially those selling big ticket items. A mixture of factors, including a big reduction in consumer spending due to cost of living pressures, lower home sales and a debilitating cyber attack made it impossible for the business to continue in its current form.

“The sale of some stores and the brand to Tapi has allowed over 300 jobs to be saved, and gives the Carpetright brand the chance to continue and flourish under its new ownership.

“However, it is deeply saddening that for the remainder of the workforce there will be redundancies. We are committed to helping those affected and will make sure redundancy claims are processed as quickly as possible. In collaboration with Tapi, we will assist in efforts to help individuals find new jobs elsewhere.

“We know this is an uncertain time for many of those affected and want to thank all the staff for the support they have given the company in these difficult circumstances.”