KITCHENWARE retailer ProCook has hit out at "extortionate and ever-increasing business rates" following its decision to close 18 stores with the loss of about 100 jobs.

The Cheltenham-based company, which sells own and other brands’ cookware and electrical appliances, will be left with no high street presence.

It will concentrate on selling products to other retailers and through its 13 factory outlet stores – including Castleford – and its website.

It said a stock clearance sale would be held at its Castleford store at the Junction 32 Outlet Village. Once stock had been sold off it would be rebranded and restocked with ProCook’s own product range.

The move comes after the company, which also has an outlet store at the McArthur Glen Designer Outlet Centre, York, went into administration last July and was bought out by management and a consortium of external investors.

At the time, administrators KPMG said its problems resulted from its rapid expansion into the high street at a time of tough trading for the retail sector.

Managing director Daniel O’Neill said the closures were "due principally to the ever-increasing business rates".

Although many landlords had been flexible and understanding, he said, the business felt the effects of the rates levied by local authorities.

Crisis

Mr O’Neill said: "The singling out of retail tenants in particular for punitive and escalating business rates in most parts of the country pre-dated the economic crisis. However, these cost pressures have made high street retailing difficult and in many cases impossible in conjunction with the present economic downturn."

The first six of the 18 stores will close on February 15. They are at Chatham, Kent; Dalton Park, Durham; Derby; Inverness; Salford Quays, Manchester; and Spalding, Lincolnshire.

The remainder will shut their doors on March 1, with the stores running closing-down sales until their stock has been sold.

The 100 jobs lost are a mixture of full and part-time positions.

ProCook, which describes itself as the nation’s largest specialist retailer of cookware, began in 1993 as a small family business.

Article from:Yorkshire Evening Post

Published Date: 28 January 2009