550 jobs under threat as Oddbins calls in administrators

Off-licence chain Oddbins fell into administration on Friday, with its owner European Food Brokers (EFB) blaming difficult trading conditions on the High Street and Brexit-fuelled economic uncertainty.

Administrator Duff & Phelps (D&P) has been appointed to run the business while a buyer is sought and EFB has not stated how many staff will be affected from the chain's 45 outlets.

Philip Duffy, joint administrator, said: "The continued decline in consumer spending, pointing to a squeeze on household finances, combined with rising living and national wages have put increased pressure on retailers’ bottom lines. As wages struggle to keep up with the pace of inflation and continued, deepening unease and uncertainty over Brexit, means consumers are cutting back on spending."

A total of 550 jobs are under threat and other off-licence brands owned by EFB, which include Wine Cellar Trading and Whittalls Wines Merchants, could also be impacted.

Despite owning the latest casualty of the High Street, EFB has not been forced into administration, though its subsidiaries Wine Cellar Trading, Whittalls Wines Merchants 1, Whittalls Wines Merchants 2 and EFB Retail Limited all have.

EFB, which had warned earlier this week that administrators might be appointed, said: "The deterioration of the High Street, combined with the continuing economic uncertainty surrounding the withdrawal of the UK from the EU, has resulted in an unsustainable, tough physical retail market."

The news represents the second time that Oddbins has gone into administration in eight years, with EFB having bought up Oddbins stores after the chain went into administration back in 2011 when HM Revenue & Customs refused to support a deal with its creditors.