Fifty jobs lost as gas cylinder testing firm enters administration
A Nottingham firm which provides a range of products and services for the testing, refurbishment, storage, transportation, and filling of gas cylinders has entered administration with the loss of 50 jobs.
John Lowe and Philip Pierce, partners at advisory firm FRP, were appointed joint administrators of Gas Container Services on 9 April.
The administrators said that the company had experienced “significant financial challenges” through the course of the COVID-19 pandemic. This had been largely due to the decrease in demand from its customers across the hospitality sector that have been closed following Government guidance for much of the past year.
Some 50 out of the 53 people at the company have been made redundant with three remaining in employment to support the closure of the business.
The joint administrators say they are now looking for a new buyer for the business.
John Lowe, partner at FRP, said: “The COVID-19 pandemic has had a significant impact on businesses across the UK. The closure of hospitality firms throughout the pandemic has put substantial pressures on those in the supply chain, including Gas Container Services.
“We are now looking for potential buyers of the business as it has been unable to meet its financial obligations and has become insolvent. Our focus now remains on continuing efficient communication with creditors as part of our statutory duties while working with the staff to help them access the appropriate redundancy support.”