Ethel Austin on brink of second failure

NORTH West clothing retailer Ethel Austin is on the brink of a second insolvency in less than two years.

The Merseyside-based company has filed an intention to appoint administrators, which is set to happen early next week.

The company was bought out of administration in May 2008 by former MK One chief executive Elaine McPherson, who has reportedly pumped more than £5m of her own money into the business.

Homewares chain Au Naturale – which Ms McPherson also bought in 2008 – is also in financial trouble.

A winding-up notice was filed in the courts on Monday by construction company, Aurelia Properties.

The 300-shop chain had been reportedly close to sealing a refinancing deal last week, having  struggled to pay suppliers since before Christmas.