An insolvency firm has been appointed to handle the process of placing failed Harrogate firm Amvoc into administration.

Staff at the telemarketing firm were left shocked on Tuesday night when they received a late night email from chief executive Damian Brockway saying “all our offices are closed with effect from tonight”. It went on to blame “covid debts”.

Law firm Aticus Law has now been contacted by 145 former employees as it investigates the circumstances of the company’s collapse and concerns around how the redundancy process was managed, as well as whether ex-staff are eligible to claim for compensation.

Gareth Lewis, director of Leeds firm Lewis Business Recovery and Insolvency, said today it was handling the administration process.

He said:

“I can confirm that following the directors’ decision to make all employees redundant on Tuesday evening, this firm was engaged on Wednesday to assist with the process of placing the company into administration.

“It is anticipated that the company will be placed into administration in the coming days, and we are now collating all financial and employee information to enable us to perform our duties.

“We have contacted former employees through our agents IPERA, who will assist employees with the process of making their claims through the government’s Redundancy Payments Service”.

Founded in Dacre

Mr Brockway set up Amvoc, the trading name of A Marketing Vocation Ltd, from a small office in Dacre in 2010. It sold telemarketing services, initially in the legal sector, and grew rapidly, moving first to Pateley Bridge and then to large offices at New York Mills near Summerbridge. 

It opened a new head office on Cardale Park in Harrogate in 2015, a facility in Leeds in 2018 and an office in Manchester in 2022.  It also had plans to expand to London.

Amvoc’s clients included BP, Barclays, Virgin Media, Leeds Beckett University, and both the Conservative and Liberal Democrat parties. 

Its website said it employed 450 staff but the Stray Ferret believes the figure at the time the company collapsed was under 300.

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We again attempted to contact Mr Brockway today. An immediate emailed response said:

Almost 100 staff at failed Harrogate telemarketing company Amvoc are to take legal action over the way redundancies were managed.

The Stray Ferret revealed yesterday up to 450 people received an email at about 10pm on Tuesday night from chief executive Damian Brockway informing them the firm had ceased with immediate effect.

Mr Brockway said the company had entered administration and blamed “covid debts”.

Based at Cardale Park in Harrogate, Amvoc also has offices in Leeds and Manchester.

Within hours of the news breaking, employment law firm Aticus Law said it had been contacted by 91 people affected.

The firm said it was now in the early stages of investigating the circumstances of the company’s collapse and concerns around how the redundancy process was managed.

It was also looking into whether ex-employees were eligible to claim for a protective award claim against the company.

Aticus said if its clients were able to successfully pursue a claim, those involved would receive up to eight weeks’ worth of pay in compensation, with a cap of £571 per week.

The Manchester-based firm is currently representing over 130 ex-employees to bring a protective award claim against Made.com which entered into administration last year, around a dozen former employees of FlyBe, and more than 50 staff who lost their jobs when BritishVolt collapsed earlier this year.

Edward Judge, a founding partner at Aticus Law said:

“We have now been contacted by 91 individuals who say that they have been affected by job losses following the recent collapse of Amvoc.

“We are in the early stages of investigating those claims, and advising our clients on their options.”

“As is always the case with protective award claims, the individuals who have reached out to us for advice regarding their rights are understandably very anxious and concerned about what the future has in store for them.”

A protective award is compensation awarded by an employment tribunal if an employer fails in its duties.

Mr Judge added:

“The protective award is a vital safety net for so many families in fast-paced redundancy situations that often leave them with no source of income and absolutely no notice.

“However, many people don’t realise that you can only get a protective award payment if you are included as part of the claim and are listed as part of the Schedule of Claimants attached to the tribunal judgment.”

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Mr Brockway’s email to staff, seen by the Stray Ferret, said: 

“We have appointed administrators with immediate effect who will now be responsible for paying wages this week and all outstanding bonuses.

“I am gutted. Words fail me.

“Unfortunately our covid debts were too high and repayments not high enough. We have been issued with immediate request to pay all outstanding within seven days which is impossible.

“I cannot tell you how upset this makes me.”

As many as 450 people have lost their jobs after Harrogate telemarketing company Amvoc crashed into administration, leaving employees in shock today. 

Staff received an email at 10pm last night from chief executive Damian Brockway informing them all the company’s offices, in Harrogate, Leeds and Manchester, would close with immediate effect, citing “covid debts” as the cause. 

The email, seen by the Stray Ferret, said: 

“We have appointed administrators with immediate effect who will now be responsible for paying wages this week and all outstanding bonuses.

“I am gutted. Words fail me.

“Unfortunately our covid debts were too high and repayments not high enough. We have been issued with immediate request to pay all outstanding within seven days which is impossible.

“I cannot tell you how upset this makes me.”

The speed of the company’s demise surprised many – it was still advertising for new staff as recently as last week – and staff expressed their shock in social media posts. One said:

“I, as many others will be during this time, am now frantically looking for work. With huge overheads, a small child to support and a mortgage to pay, I am very concerned about the coming weeks.”

Mr Brockway set up Amvoc, the trading name of A Marketing Vocation Ltd, from a small office in Dacre in 2010. It sold telemarketing services, initially in the legal sector, and grew rapidly, moving first to Pateley Bridge and then to large offices at New York Mills near Summerbridge. 

It opened a new head office on Cardale Park in Harrogate in 2015, a facility in Leeds in 2018 and an office in Manchester in 2022.  It also had plans to expand to London.

Amvoc’s clients have included BP, Barclays, Virgin Media, Leeds Beckett University, and both the Conservative and Liberal Democrat parties. 

The company has been approached for comment. 

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Paperchase in Harrogate is holding a closing down sale after the company went into administration this week.

Tesco bought the rights to the cards, gifts and stationery brand, entitling it to sell Paperchase items in its supermarkets, but did not buy the stores.

It means the shop on James Street is one of 106 stores facing uncertain futures. More than 800 staff nationally are affected.

Signs have now gone up in the window confirming the closure, although the final day of trading is not yet known.

In-store notices confirm administrators Begbies Traynor have been running the business since Tuesday.

They say no further gift cards will be sold and customers have until 5pm on February 14 to use existing gift cards.

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Staff at the Harrogate branch of stationery store Paperchase face an uncertain future after the company went into administration today.

Sky News reported this morning Tesco was in advanced talks to buy Paperchase’s name and other intellectual property through a pre-pack administration but was unlikely to be interested in any stores — casting doubt over the workforce’s future.

Staff in Harrogate told the Stray Ferret they were unable to comment at this time when we called this morning.

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Jobs are at risk on Ripon’s high street today after fashion retailer M&Co fell into administration for the second time in two years.

A notice on the door of the store on Fishergate says Gavin Park, Adele MacLeod and Rob Harding of Teneo Restructuring Limited were appointed joint administrators on Friday and are managing ‘the affairs, business and property  of the company’.

A buyer is being urgently sought for the Scottish retail chain, which employs almost 2,000 staff in more than 170 UK shops.

The Ripon store remained open today but staff were unable to comment on the news or confirm how many people are employed there. In the meantime a time-limited flash sale has been launched.

Specialist fashion trade publication Drapers reported first on the Mc&Co news and quoted a spokesman from Teneo, who said:

“Like many retailers, the company has experienced a sharp rise in its input costs, which has coincided with a decline in consumer confidence leading to increased pressure on cash flows and trading losses.

“No immediate redundancies have been made and the joint administrators are exploring a potential sale of the business in an accelerated timeframe, during which time the company will continue to trade from its stores and website.”

Tough trading conditions exacerbated by covid lockdowns previously saw M&Co go into administration in August 2020, but the business was saved when it was bought by its Scottish owners the McGeoch family, in a deal that saw 47 stores close and more than 300 jobs lost.

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Harrogate’s Joules shop is set to remain open after the retailer was rescued from administration by founder Tom Joule and high street brand Next.

The deal, announced today, will see 19 Joules stores closed with immediate effect — but Harrogate’s James Street shop is not among them.

More than 130 staff across the country have lost their jobs, but 1,450 have been retained. Next paid £34 million for the business, giving it a 74% share to Mr Joule’s 26%.

He said:

“After three years away from the operational side, I’m truly looking forward to inspiring teams with clear direction to excite and recapture the imagination of the customer again.

“Our customers have always trusted us to lead, not follow, with products that reflect their lifestyle. It’s important that we live up to the high standards they desire in design, quality and… the service they expect.

“I’m so pleased that we have been able to strike a deal that protects the future of the company for all its loyal customers [and] its employees.”

Next is expected to continue to sell from the Joules website, as well as adding the brand to its own site from 2024.

Marks and Spencer has already warned of a difficult time for retail as businesses face rising costs and falling consumer spending.

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Administrators dealing with the collapse of a food company founded in the Harrogate district have said it is “unlikely” its 108 unsecured creditors will receive any of the money they are owed.

Bleikers Smoke House Ltd fell into administration in April, when it was also revealed that the company was being investigated for possible food fraud.

Now, administrator FRP Advisory Ltd has revealed a growth in the price of raw materials and difficulty in finding temporary staff at Christmas put “pressure” on the company. The latest report said:

“In late March 2022, the company’s biggest customer (approx 50% of sales) notified the company of concerns regarding the provenance of goods supplied and withdrew its products from sale in its stores, ceasing all orders.

“Despite an ongoing dialogue and a number of audits being undertaken by the customer and its agents, no resolution could be reached.

“A confidential settlement was subsequently reached with the customer on April 26, 2022, which ended the relationship.

“The sudden loss of this customer’s business, combined with the already weakened financial position meant the company was no longer viable.”

The latest update reveals a sale of the company, founded in 1993 at Glasshouses Mill, was attempted in April but a buyer was not found. After the company entered administration, there were two parties interested in buying it, but they pulled out when news of the Food Standards Agency’s investigation emerged.

However, a sale to Sixto Strategic Sourcing LLC for a total price of £300,000 has since been agreed, and could see production restarted from Bleikers’ most recent home at Leeming Bar.

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As well as negotiating the sale, administrators reported they had secured the return of the company’s trademark and branding rights from a company owned by the children of Bleikers’ directors, Charles and Annabel Andrew.

The rights had been transferred within the last 12 months but were returned in order to facilitate a sale of the business, the report said.

Of the company’s 86 members of staff, just three have been retained on a self-employed basis to assist with specialist knowledge. A food hygiene specialist has been appointed to liaise with the environmental health office.

Administrators said the prospect of any of the company’s 108 outstanding creditors receiving any payment is “unlikely”.

Meanwhile, the Food Standards Agency (FSA) said it continues to investigate Bleikers Smoke House over allegations of food fraud.

A business founded in the Harrogate district almost 30 years ago is being investigated for food fraud.

Bleiker’s Smokehouse, established in 1993 and previously based at Glasshouses Mill in Nidderdale, fell into administration at the end of April.

While administrators FRP Advisory seek a buyer for the business, the Food Standards Agency’s National Food Crime Unit (NFCU) has begun an investigation into allegations of food fraud.

Gavan Wafer, head of investigation at the NFCU, said:

“Our investigation into Bleikers Smokehouse Ltd is related to a number of alleged issues including concerns about their country of origin claims on some of their smoked salmon products. The NFCU has acted on intelligence it received and which has resulted in one arrest being made.

“It is vitally important that we ensure food is safe and what it says it is and that consumers and food businesses are confident in the authenticity of food they are buying. We would like to take the opportunity to thank North Yorkshire Police for assisting in the investigation and supporting this operation.”

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The business was founded by the Bleiker family from Burton Leonard, who stepped down as directors in 2006. At the time it fell into administration, Charles Andrew of Kirby Malzeard was the sole director.

The smokehouse had moved in recent years to a business park at Leeming Bar, employing 86 members of staff and supplying supermarkets across the UK.

On April 28, 38 people were made redundant before the company entered administration the following day.

A spokesman for FRP Advisory today said there was no further update on its work following news of the investigation.

At the end of April, Martyn Pullin, partner at FRP and joint administrator, said:

“Bleiker’s was a family operation with a track record of supporting both major and independent retailers. The loss of a significant contract left the business in a difficult financial position. Regrettably, the insolvency has meant that the business is no longer able to continue trading and redundancies have been made.

“We are on site and will work closely with impacted staff to help them access the support they need in making applications to the Redundancy Payments Office.

“We are now focused on exploring options to sell the business and its assets and encourage any interested parties to come forward.”

McColl’s has been placed into administration raising questions about the future of its stores in the Harrogate district.

The McColl’s Retail Group made the formal announcement today saying that reduced consumer spending and the impact of increased costs had impacted the businesses.

The Harrogate district’s stores are on Royal Parade, Otley Road and King Edward Drive in Harrogate and Bondgate in Ripon.

Morrisons had offered a deal to save the failing company, but in the past few minutes it’s been reported that the owners have appointed administrators.

The stores in Harrogate and Ripon could face closure.

The statement from McColl’s said:

“Whilst the constructive discussions with the company’s key wholesale supplier to find a solution with them to the company’s funding issues and create a stable platform going forward had made significant progress, the lenders made clear that they were not satisfied that such discussions would reach an outcome acceptable to them.

“In order to protect creditors, preserve the future of the business and to protect the interests of employees, the board was regrettably therefore left with no choice other than to place the company in administration.”

It also said the administrators intended to sell the business to a third-party purchaser “as soon as possible.”

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