Nationwide Accident Repair Services, and a number of its subsidiaries, has collapsed into administration with 540 jobs lost
Rachael Wilkinson and Rob Lewis of PwC have been appointed as joint administrators of Nationwide Accident Repair Services and a number of its subsidiaries.
The business, headquartered in Witney, Oxfordshire operates a nationwide network of garages, servicing the accident repair market for a number of large UK general insurance firms.
Immediately following the appointment, the joint administrators completed a sale which included the majority of the group’s business and assets to RunMyCar Limited, a subsidiary of Redde Northgate plc, safeguarding almost 2,350 roles across 80 sites including repair garages and back-office functions.
However, 540 roles have been made redundant as 30 sites were closed.
Rob Lewis, joint administrator at PwC, said:
“As with many other businesses, the group had to weather major financial fallout due to the economic impact of COVID-19, which meant that trading volumes were significantly reduced. Against that backdrop, the sale announced today reflects a significant positive outcome for the business, and we are especially pleased to have safeguarded 2,350 roles including apprentices, mechanics and technicians.
“Sadly we have had to make 540 staff redundant. We are making every effort to support those workers. This includes providing guidance for employees regarding JobCentre Plus and Redundancy Payments Service processes.”
Rachael Wilkinson, joint administrator at PwC, added:
“Companies across the automotive sector are still recovering from an extended period where activity ground to a halt, significantly depleting cash reserves.
“Some are only reaching a fraction of pre-COVID-19 volumes despite reopening outlets. Consequently, the sector is set for a make or break rebalancing period over the next few months. Refreshed lending agreements, cash conservation and supply chain management will be key.”