Approximately 680 Safestyle employees are facing job losses as the window and door maker enters administration.
Administrators Interpath Advisory said only 70 of its 750 workers will be kept temporarily for the business’s wind-down process.
On Friday, October 27, Safestyle announced its plan to appoint administrators after failing to secure a buyer.
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The company, headquartered in Bradford, operates a manufacturing site near Barnsley in Wombwell.
It maintains 42 branches and depots across the UK.
The administration of Safestyle follows a series of challenges, including the impact of runaway inflation and declining consumer confidence.
It also saw an unexpected drop in demand due to unseasonably warm weather in September.
The company had suspended trading its shares in London earlier in the week as hopes for a rescue deal dwindled.
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It eventually led to the inevitable decision to bring in administrators.
Safestyle’s subsidiary, HPAS, and its holding companies, Style Group Holdings and Style Group UK, concluded that they could no longer continue trading.
“Challenging times”
Rick Harrison, managing director at Interpath Advisory, said: “These are really challenging times for companies across the home improvement market.
“After seeing strong sales during the Covid lockdown periods, many companies are seeing trading being impacted by the cost of living crisis and soaring costs.”
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He added: “Unfortunately for Safestyle, and despite the tireless efforts of the management team over recent months, these challenges have proven too difficult to overcome.
“This will be particularly devastating for the company’s employees, as well as the many self-employed contractors who worked on behalf of the company.
“Our immediate priority will be to provide support to those impacted by redundancy, including supporting them in making claims to the Redundancy Payments Service where relevant.”
