Crawshaw Group becomes latest retailer to collapse

The butchery chain Crawshaw Group has collapsed into administration, putting 800 jobs are at risk.

The company has over 50 stores across the UK and expects to appoint administrators on Wednesday.

After it failed to raise money from investors and disappointing results for 2018, the group collapsed and is it a further risk if a buyer cannot be found.

Crawshaw Group reported pre-tax losses of £1.7 million for the first half through July.

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“The company does not have sufficient cash resources to effect the required restructuring of the business”.

The statement added that the company had, “taken the decision to place the company into administration and intends to appoint administrators shortly with the purpose of seeking buyers for the group’s business and assets on a going concern basis.”

The business, which opened in 1954, has had its shares on the London Stock Exchange’s junior AIM market suspended.

Crawshaw faced growing competition from Aldi and Lidl to cut prices.

Martin Lane, the managing editor of money.co.uk, said: “With the rise of competition from budget supermarkets offering cheap meat options it’s hard for butchers to survive.”

“It is undoubtedly distressing news for employees of Crawshaw and their families especially because their fates are now being kept in limbo. Now is the time to check what redundancy rights you have and dig out any income or mortgage protection policies you hold just in case.”

Crawshaw was not the only business to struggle amid difficult trading conditions.

Other high street retailers are feeling the effects of rising rents, higher business rates and fragile consumer confidence amid the Brexit uncertainty.

This year has seen Evans Cycles, House of Fraser, Toys R Us and Maplin fall into administration.