Essex: Jobs threat as Carpetright heading for administration

Carpetright, which has branches in Colchester, Harwich, Clacton, Braintree and across the UK, is set to appoint administrators.

The business employs 1,852 people, and operates 272 stores across the UK.

They are continuing to trade as normal, but the future of the retailer is uncertain.

It is understood that experts from PwC are set to be appointed, who will seek to find emergency funding or a rescue buyer for the troubled business.

Retailer - Carpetright signage (Image: Archive)

Once a notice of intent to appoint administrators is filed, it gives companies about ten days in which it can attempt to avoid insolvency.

Carpetright, which is owned by Nestware Holdings, has suffered from weaker demand for carpets after homeowners shifted towards hard flooring.

It was also the victim of a major cyber-attack in April which halted trading.

The company said the software attack’s impact on sales had affected efforts by the company to restructure its operations in recent months.

Kevin Barrett, chief executive officer of Nestware Holdings, said: “We remain focussed on securing external investment to ensure as few customers and colleagues are impacted as possible.

“They are our main priority and we are taking all appropriate action to make sure they are informed and supported through this process.

“We have begun promising conversations with interested parties that are moving in the right direction, encouraging us that Carpetright has a viable future.”