A Community Network for Bowes Park and Bounds Green
Administration Press Release by Grant Thornton attached
Please direct queries to: mailto:carcraft@uk.gt.com Telephone: 0800 923 9495
Please include in the subject of your email to Grant Thornton the Vehicle Registration Number and relevant Carcraft site location
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The second-hand car company Carcraft is to close [immediately], with the loss of about 500 jobs.
The dealership, based in Rochdale, Greater Manchester, has 10 showrooms around the country.
Carcraft is the UK's seventh-largest second-hand car chain, selling more than 12,000 used vehicles a year, administrators said.
A spokesman warned customers with Carcraft policies, including break-down cover, would no longer be covered.
Administrators Grant Thornton said the group had suffered from "poor market reputation, lack of investment, a high cost base, expensive loan note financing and an insolvent balance sheet".
Carcraft, which was established in 1951, has sites in:
The group is said to be making annual losses of about £8m a year.
It is understood all employees have been informed and have been made redundant.
Daniel Smith, partner at Grant Thornton, said: "With great regret a conclusion was reached that it is no longer viable to keep Carcraft in operation.
"In order to prevent further losses it has been agreed with management and creditors to cease operations with immediate effect."
He added the business would retain a "skeleton staff" to help with selling off the assets.
Tags (all lower case):
if your monetary dealings with CarCraft involved a CREDIT CARD payment over £100 then a claim under the Consumer Credit Act 1974 section 75 may be appropriate and the credit card provider needs to "be put on notice"
It's worth remembering that sometimes you might not be able to protect yourself, for example if you pay a monthly fee of less than £100 to a company that goes into administration. But always check to see if you can use other consumer protection, such as chargeback.
For more details CLICK HERE
The recent legal decisions in respect of Woolworths and Ethel Austin may complicate the employees compensation. The decision of the Employment Appeal Tribunal held on 30th May 2013 is attached. Please see the opinion article from PinsentMasons, CLICK HERE
Around 3,200 ex-employees at store that collapsed in 2008 and 1,200 former staff at Ethel Austin miss out because they worked in stores employing fewer than 20 staff
A decision by the European court of justice (ECJ) means that 3,200 ex-employees of Woolworths and 1,200 former staff at Ethel Austin will not receive any money.
In 2012, 24,000 former staff of Woolworths were awarded compensation worth 60 days’ pay because the stores had been closed without consultation after the 815-strong chain collapsed during the financial crisis four years earlier.
Since the company was in administration, the money came from the taxpayer, through a branch of the Insolvency Service.
But the 3,200 former Woolworths workers whose case went to the ECJ had missed out because they were based in stores employing fewer than 20 staff
The purpose of this reply is to identify specific issues that have appeared in the national press. Employees situations and employment rights depend on the facts of their particular employment and they need to consult with union representatives or ACAS
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