Daventry jobs under threat after food delivery firm goes bust

EVCL Chill called in administrators following loss of customers and driver shortage

Monday, 27th September 2021, 3:55 pm
Updated Monday, 27th September 2021, 3:56 pm
EVCL Chill operated five warehouses and distribution centres, including one at DIRFT

Workers at a Daventry distribution centre are set to find out if they still have jobs following the collapse of a chilled food delivery business.

Administrators PwC says 434 jobs are at risk across five EVCL Chill sites at Daventry International Rail Freight Terminal and at sites in Alfreton, Rochdale, Bristol and Penrith.

PwC said EVCL Chill had a turnover of £167 million in the 12 months to December 2020 and was profitable, but had been hit hard by a loss of customers and the current driver shortage.

More than 600 of the company's 1,092 full-time employees have been transferred to key customers but the remaining staff's future was "unclear."

A statement from the administrators issued on Friday (September 24) said: "Regretfully there are a number of roles that have not been transferred and we will update the remaining employees early next week."

Eddie Williams, joint administrator, said: “This has been a very difficult situation and involved intense discussions with key stakeholders on an accelerated basis to get to this position.

"As businesses move from survival mode to recovery, the financial climate is still very volatile.

“We will continue to fully support all affected staff members during this difficult time.”

EVCL Chill operates primarily in the chilled food logistics market, storing and delivering products for a number of retail customers, including Asda and Sainsbury, and suppliers to the UK food retail market.

The administration does not affect the wider EV Cargo Group which continues to trade as before.