A discount furniture retailer founded in Yorkshire in 1969, has entered administration, placing approximately 1,180 jobs in jeopardy. Administrator Interpath cited "adverse trading conditions and higher staff costs arising from Government policies" as key factors behind the company's financial difficulties.
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Rick Harrison and James Clark of Interpath were appointed joint administrators on 28 January. The retailer operates 137 shops offering clothing, homewares, beauty products, toys, and seasonal items. While all physical stores will continue trading as a going concern during the assessment of options, the online store has closed.
Interpath highlighted that high cost inflation, weak consumer confidence, and logistical issues with a third-party warehouse significantly affected sales. Harrison commented that The Original Factory Shop, once a "cornerstone of local high streets," was forced into administration due to persistent trading challenges.
Industry observers note that the retailer's product range has struggled to attract sufficient demand, with a need for a "completely new direction" for any potential buyer. Many shops may close, and the brand's presence on the high street could largely disappear, though some unsold stock may retain value. Difficult Christmas trading is cited as the final pressure point leading to the administration.
Source: www.furniturenews.net
