Jobs lost as Leicester's Peacocks store is closed
The city centre has suffered a new blow after a major store closed yesterday.
Peacocks in Humberstone Gate, which employed 34 people, was one of 224 branches shut down by the new owner of the fashion chain.
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Peacocks
It comes weeks after coffee chain Starbucks closed its branch in Gallowtree Gate and two other smaller city centre stores were shut.
Scottish retailer Edinburgh Woollen Mill had bought the Peacocks group out of administration, saving 6,000 jobs at 338 stores, including ones in Beaumont Leys, Hinckley, Loughborough and Market Harborough. The deal saved 57 jobs at the four Leicestershire stores.
However, 3,100 workers nationally were made redundant after the new owner decided a number of the stores were no longer viable.
Joff Pope, joint administrator at accountants KPMG, which oversaw the deal, said: "While it is unfortunate that redundancies have been necessary, we are pleased that we have been able to preserve the majority of the business and jobs."
Martin Traynor, chief executive of Leicestershire Chamber of Commerce, said he was confident a new occupier would be found for the vacant store.
He said: "I'm obviously hugely disappointed with this decision, but the store is in a prime location and I'm fairly optimistic it will be re-occupied soon."
However, retail property expert Martin Herbert, a director of estate agency Lambert Smith Hampton, in Leicester, said the unit – which measures about 8,000sq ft over two floors – would be difficult to fill given the tough economic conditions.
John Gorle, of Usdaw, which represents staff at Peacocks, said: "While this is obviously fantastic news for those workers whose jobs have been saved, it is catastrophic for the 3,100 now facing the dole queue."
Peacocks went into administration four weeks ago after suffering from a decline in consumer spending.
An occupier is yet to be found for the vacant Starbucks branch in Gallowtree Gate a month after it closed.
Clothing and equipment store JC Sports and record shop 2Funky, both in Belgrave Gate, also closed last month after blaming the internet for a fall in trade.
7 Comments
by Jani88
Thursday, February 23 2012, 9:46PM
“Retail is suffering a lot with sales and ,more jobs I fear will go in this sector as well as big companies look no-further than Woolworths!”
by sydney11
Thursday, February 23 2012, 4:59PM
“It would appear to be the City Centre stores which they have closed - this includes the ones in Cardiff - & like all entanpeaurs - according to the paper they did not even have the manners to contact the staff who had a day off directrly - they appreared to find out via the grapvine that they had no job!”
by IncredibleD
Thursday, February 23 2012, 3:51PM
“Can't hold them liable for rates either as these as set nationally...wow I defended the Council. Anywho, businesses will struggle if they are unable to offer a competitive service..as for Starbucks, how many coffee shops does one City need? Are we suprised they closed a store? Peacocks has to compete with Primark and H&M for value clothing and Edinburgh Wollen Mill have a storein Market Harborough and a Peacocks in B/Leys, not surprising they decided to close the city centre store really.”
by Red_Ned
Thursday, February 23 2012, 3:43PM
“handymanphil - are you serious?
"The greatest trick the Devil ever pulled was convincing the world he didn't exist..." Look over there at all those scrounging immigrants, look at those greedy nurses, teachers, council workers, look at those workshy students...don't look over here at this massive pile of money I have stashed in the Cayman Islands to "avoid" paying taxes, or at the huge bonus I get for being in charge of a bank that loses money, or the enormous amount of money I'm going to spend on replacing trident...no, no,nothing to see here...you concentrate on those immigrants...
And who is SHS?”
by New_Walk_View
Thursday, February 23 2012, 2:02PM
“@ handymanphil
You can't blame the City Council for commercial property rents. I would guess that virtually all commercial property in Leicester is owned by privately-owned property companies and/or investment and pension funds.”
by reubedube
Thursday, February 23 2012, 1:03PM
“Somebody voted in the crew we now have running the country.
No use them continuing to blame the last Labour government; the present motley crew continue
to play at being a government, causing untold misery for hundreds of thousands.
We must all be patient though, just keep reminding ourselves, "We are all in this together"
Last forecast I heard,they're saying things will be much better in ten years time. Wonderful news !”
by handymanphil
Thursday, February 23 2012, 12:18PM
“It's a fantastic self destruct system we now run in this country! Let more immigrants in, thus spend more on benefits etc whilst businesses keep going bust and more people become available to fight for less jobs. Brilliant!
And this is just priceless-SHS take note!
"An occupier is yet to be found for the vacant Starbucks branch in Gallowtree Gate a month after it closed."
2 words.....RENTS & RATES.....over greedy councils are pricing business out of city centres.”