Hundreds of jobs at risk as Oddbins falls into administration

The Oddbins off-licence chain has gone into administration, putting hundreds of jobs at risk.

Administrator Duff & Phelps (D&P) has been appointed to run the business while they attempt to find a buyer.

Oddbins’ owner, Walsall-based European Food Brokers (EFB), said that tough conditions on the high street and economic uncertainty surrounding by Brexit were to blame.

Oddbins has about 45 outlets. Other brands affected include Wine Cellar Trading and Whittalls Wines Merchants.

D&P said EFB has about 550 staff and 101 off-licences.

Phil 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.

“Add into that mix rising business rates and rents, and traditional bricks-and-mortar retailers are undoubtedly feeling the strain.

“The joint administrators will continue to operate all stores as a going concern in the short-term whilst a financial review of all stores is completed, whilst a buyer is sought
for the business and assets of the companies.”

Oddbins went into administration in 2011. It had planned to restructure its debts through a company voluntary agreement but the company did not receive the full support of all its creditors.

EFB, which is run by businessman Raj Chatha, bought 37 Oddbins stores at the time through its Whittalls subsidiary.