A flooring business which traded out of John Lewis stores has gone into administration and is being wound down, with almost 200 staff losing their jobs.
The Floor Room, which sold carpets, laminate and other types of flooring, closed its concessions in 34 John Lewis shops with “immediate effect” after administrator’s PricewaterhouseCoopers (PwC) were appointed on Friday.
The company, which had one of its own stores in London, said it was unable to fulfil any outstanding orders that had been placed.
John Lewis told the BBC that, while it did not own the company, it was “working urgently to understand what this means for The Floor Room’s customers and colleagues”.
“If anyone has an outstanding order with the Floor Room, we are committed to doing everything in our power to help and support them,” a statement from the retail giant said.
PwC said customers were being recommended to contact payment card providers “about the possibility of obtaining a refund”.
Adam Seres, joint administrator at PwC UK, said the Floor Room, which was founded only last year, depended on its sister company Carpetright for much of its operations and support services. He added the company was also affected by a cyber attack on Carpetright in April.
Carpetright fell into administration itself last month, before the brand and some of its stores were rescued in a deal which resulted in 1,500 staff losing their jobs.
Mr Seres said the Floor Room’s management were unable to secure funding or find a buyer following Carpetright’s insolvency, and the company’s “financial position meant it was impossible for the business to continue trading”.
“It is with sincere regret that this outcome has had to result in the redundancies of the majority of employees,” he added.
“We are committed to helping those affected and will work hard to ensure redundancy claims are processed as quickly as possible.”
PwC said some employees at the Floor Room’s head office would be retained “for a short time to support in winding down operations”.
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