COLCHESTER Homebase appears to have been 'saved’ as the owners of The Range strike a deal and secure the future of 70 stores.

Homebase appointed administrators at consultancy Teneo after it was hit hard by an “incredibly challenging” three years for the DIY sector.

The DIY and garden chain was waiting on around £5 million of tax rebates before it collapsed into administration last week.

Administrators struck a deal to sell the business to retail group CDS, which owns The Range and Wilko, securing the future of up to 1,600 jobs and 70 stores.

However, the future of 2,000 other workers and its remaining stores was left hanging in the balance.

Administrators have now placed 74 leasehold Homebase stores on the market, including four stores in Essex in Basildon, Harlow, Romford and Saffron Walden.

There are 70 stores which are not on the list for sale, including Colchester, meaning the site may have been saved, though not yet confirmed.

Deal - Colchester may be the only store in Essex saved Deal - Colchester may be the only store in Essex saved (Image: Google Maps)

Councillor Jeremy Hagon, ward councillor for Stanway, said: “It seems the owners of Homebase are going to maintain the right decision to keep out valued store open in Stanway and maintain the jobs that it provides for the local area.

“Stanway and the local area is a growing area, more housing developments are coming forward and more people are moving into the area who want to decorate and furnish their homes.

“The Homebase store provides choice, and to have choice on our doorstep is excellent as a lot of areas don’t have that.

“We do have multiple DIY operators in the local area, but Homebase has been there for many years, and staff are always friendly and welcoming.

“I’m quite happy that it seems like it’s not going—my fingers are crossed it stays.”

Store - The Stanway store was not on the list of sites for sale Safe - The Stanway store was not on the list of sites for sale (Image: Google Maps) Administrators have set a deadline of November 29 for potential suitors to buy the remaining stores, amid efforts to secure more funds for creditors.

Homebase’s collapse came amid reports that banking giant Wells Fargo declined to extend the group’s lending facility due to concerns about its finances.

The PA news agency has found that these concerns came as the retailer waited for around £5 million to be remitted back to it in tax rebates.

Commercial real estate adviser Altus Group, which represented Homebase, said more than 50 checks, challenges and appeals against the retailer’s property tax liabilities had not been paid at the time of its collapse.

Homebase was seeking reductions in the overall rateable value of its store portfolio by £5.7 million following a 2023 revaluation of its annual business rates bill.

Alex Probyn, president of property tax at Altus Group, said: “The appeal process is just far too slow and ultimately damaging to cash flow.

“With business now facing the biggest tax increases in three decades, the 2023 tax base must be corrected quickly to ensure that ratepayers not only receive their rebates timely but also have the confidence that their bills have been set fairly.”

Homebase and Teneo have been contacted for comment.