European Cargo: grounded by financial pressure and an unforgiving market
European Cargo’s collapse appears to have been driven by a combination of rising operating costs, ...
© Peter Fleming |
By Alex Lennane
The UK’s Tuffnells Parcels Express has gone into administration after failing to secure funding. Some 2,000 people have been made redundant.
Administrator Richard Harrison told Business Sale Report that “the highly competitive nature of the UK parcel delivery market, coupled with significant inflation across the company’s fixed cost base in recent times, has resulted in the company experiencing intense pressure on cashflow”.
The firm’s hubs and depots are closed until further notice, causing disruption to retailers including Wickes and Evans Cycles. According to Companies House, its most recently filed revenue, for the year ending 31 December 2021, were £178.1m, with an operating profit of £2.3m, 24% higher than the previous year.
Comment on this article