David Phillips Furniture, a long-standing name in the property furnishings market, has entered administration with debts exceeding £40m.
© Sergii Gnatiuk | Dreamstime
Joint administrators Samuel Birchall and Howard Smith of Interpath Advisory were appointed on 15 July 2025 after the business, along with David Phillips (Rental) Limited and David Phillips (FF&E) Limited, succumbed to financial pressures driven by a downturn in the construction sector.
Despite management efforts to improve efficiency and secure funding, a £2.5m shortfall forecast for July 2025 triggered a sale and refinancing process led by Interpath and backed by secured creditor Epic Private Equity. No viable offers emerged, forcing the company into administration.
Thirty-two employees were retained to assist with the wind-down, while 115 staff were made redundant. Secured creditor claims include £10.4m owed to Epic, £6.1m to Hamsard 3463, and £1m to HSBC, with administrators warning these debts are unlikely to be recovered in full. Preferential and unsecured creditors, including staff, HMRC, and trade partners, are facing a combined shortfall of £41.3m.
Birchall noted that David Phillips remains recognised for its "quality, service and scale", but no buyers for the business or its assets have yet come forward.
Source: www.bigfurnituregroup.com
