While an Indian Summer now looks quite unlikely, we still think that you’ll be able to find some time to yourself over the next few days – and can use a small part of it to catch up on all the important and interesting business and insolvency news stories you might have missed from the past seven days. 

So if you want to know why why small businesses are paying on average more than £5,000 on energy bills; why HMRC are warning about a sophisticated new scam aimed at directors and how the UK’s Capital Gains Taxes rank against other nations arrangements – you can read all these stories and more at our advice centre page.

Schumacher College Foundation

A Devon college has closed with immediate effect resulting in job losses and disruption to students days before term was due to start. 

Schumacher College in Dartington was operated by Dartington Hall Trust (DHT) who confirmed that it was no longer financially viable to keep the college open due to “substantial mounting losses”. 

A statement issued from the Board said that courses were already closed to new students and while 46 students were expected to continue into the 2024/25 academic year, 58 others would be supported to complete their last academic year. 

32 academic positions would be made redundant as a result. The board confirmed that shorter, unaccredited courses planned for 2024/25 had “met with poor bookings” and its limited financial reserves have resulted in the closure decision. 

They added that the board was currently considering viable options for the college to sustain itself including an independent management buyout and the continuation of financially viable, unaccredited courses. 

Robert Fedder, acting CEO of Dartington, said: “It is with great regret that this decision has had to be made in a very short space of time. The priority is to support every student affected in achieving the best possible outcome for alternative course arrangements or an agreed withdrawal.

“While part of Dartington’s historical role as a charitable trust has been to provide financial support to its long-established learning activities, in this case, Schumacher, even when they are unable to break even, the commitment does not extend to risking the future of the whole trust and estate.”

Siesta Holidays

A North East holiday company will be closing after operating European tours for 45 years. 

Siesta Holidays based in Middlesbrough cited many factors out of their control for their decisions. 

The company released a statement which said: “We know that many of you have been waiting for the launch of our 2025 season and we’re sorry to have to disappoint you, sadly, after 45 seasons of providing coach holidays to France and Spain it has been decided that 2024 will be our last season operating our coach shuttle service.

“All our 2024 holidays will go ahead as planned with our last departure on October 19th.

“Many factors, mostly outside of our control, have made the coach programme more and more difficult to operate, particularly to the high level of customer care that our loyal customers expect of us.

“Above inflationary rising costs of fuel and channel crossings, essential to providing our package holidays have also made it more challenging to be able to provide the affordable holidays upon which we have built our reputation.

“We’d like to take this opportunity of expressing our gratitude to our many thousands of clients who have supported us throughout the years, and particularly those who helped us through the pandemic. The loyalty and support of our clients and staff is amazing and very much appreciated.”

Project D

A Derbyshire doughnut manufacturer has placed one of its manufacturing businesses into administration. 

Project D sells its products online and at retail sites across the UK. It said it is placing Bugibba Independent Ltd into administration as part of a “broader strategic plan”. 

A statement from the board of directors said: “We have implemented several cost reduction measures over the past few months within our bakery and we are committed to protecting the interests of our creditors and working through this process responsibly. 

“Bugibba Independent Limited has faced significant challenges over the last 12 months, including a record increase in minimum wage, rising raw material costs and a recent spike in chocolate prices. 

“In addition our revenue has declined 20% due to the ongoing cost of living crisis making it increasingly difficult to operate. 

“Regrettably we have had to make a number of redundancies across both the bakery and office teams. We’re working closely with those affected to support them in finding new employment opportunities.”

The move comes weeks after Project D entered a company voluntary arrangement (CVA) with creditors in order to secure its future.

Coping with Cancer North East

A North East cancer charity has ceased operations and closed with immediate effect making 15 staff redundant due to “insurmountable financial pressures”. 

Coping with Cancer North East has supported individuals and families affected by cancer for more than 42 years. 

The charity carried out a restructure in February that saw five employees leave the charity and allowed it to reduce its costs by 30% but chief executive Maggie Bailey said that “more income was needed and this simply has not been forthcoming since.

In a statement the charity said: “Despite their best efforts to navigate the challenging financial landscape, investigating possible mergers and exploring all potential income sources, we’ve been unable to overcome the financial difficulties that have led to this unfortunate decision.”

Coping with Cancer North East held numerous contracts with different NHS organisations in the region but none of these were paid at total cost recovery rates, so didn’t cover the full costs of supplying services. 

As a result the charity had to seek further income from grants, trusts, donors and fundraising events every year to ensure services were delivered. 

Maggie Bailey said: “Demand for services are at the highest they have ever been and it’s extremely sad that the NHS simply does not pay charities the total costs involved with supplying services, despite them referring their patients. 

The charity supported 1,500 people over the past year and was working with a further 300 at the time of its closure. She continued: “This will have a great impact on the region’s healthcare services. Coping with Cancer North East will ensure that all are contacted personally with transparency and integrity.”

“We hope that the sad closure of our charity will raise the importance for other charities similarly struggling to meet demand without full funding.”

GJF Fabrications

A Midlands metal fabrication firm has gone into administration with the loss of 56 positions. 

GJF Fabrications had explored several options to secure their future but their sole director concluded that an insolvency process was the best option for the business.

The company had been operating continuously for 25 years designing and manufacturing steel containers, compactors and skips for major national waste and recycling companies. 

Administrators will now work to secure the assets of the business and release them for the benefit of creditors.

DT Care Ltd 

The Insolvency Service has wound-up two UK based businesses that defrauded pensioners by falsely claiming their computer had a security issue.

DT Care Ltd and Amolin Solution Limited were wound up at the High Court in Manchester on August 30th. 

They called people in their 70s and 80s claiming to be from Microsoft and charging hundreds of pounds for remote access work to fix corruption and viruses that did not exist. 

David Usher, Chief Investigator at the Insolvency Service, said: “DT Care and Amolin Solution were both used as a vehicle to defraud pensioners by tricking them into believing their computer was hacked or needed vital security repairs. Their tactics were thoroughly dishonest and designed to be aggressive and intimidating. 

“We take our responsibilities in protecting the public from financial harm very seriously which is why we applied for provisional liquidators to be appointed earlier this summer, to prevent the two companies from further objectionable trading until our winding-up petitions were heard.

“The two winding-up orders secured should send a strong signal to the business community that we will use all the powers at our disposal to shut you down if you prey on some of the most vulnerable people in society.”

Despite posing as IT companies, DT Care and Amolin Solution both described themselves as e-commerce companies selling clothes, books and “junk jewellery” when they applied to open bank accounts. 

The insolvency service spoke to directors of both companies who are aged 91 and 88 respectively, and concluded that neither ran either company with the companies thought to have been instead controlled from India. Neither could produce accounting records for the businesses meaning The Insolvency Service could not establish precisely who controlled the companies and what they claimed to legitimately trade as.

TriRx Pharmaceutical Services

A Pharmaceutical manufacturer in Merseyside has issued a Notice of Intent to appoint an administrator.

TriRx Pharmaceutical Services has manufacturing and development sites in America, France as well as the UK plant in Speke, Liverpool. 

A statement from Nick Davis, site director of the Speke facility said: “The directors of TriRx took the decision that, based on the current situation with its core customer, they had no choice but to file a Notice of Intention to appoint an administrator.

“The company is not in administration at this point in time and the directors are working hard to secure a solution for the site.” 

The facility at Speke provides drug substance services to help develop and manufacture pharmaceutical ingredients. This includes process development and production, non-sterile liquid filling, fermentation, spray drying, coating, pre-mixing and has an on-site analytical laboratory for extensive quality control (QC) and stability testing. 

The company currently employs more than 350 workers on the site.

Aqualux

18 positions have been lost after a Leicestershire based shower products manufacturer and supplier went into administration. 

Aqualux had been trading for over 45 years before they announced a Notice of Intention to appoint administrators last week and this week they assumed day-to-day management of the Hinckley company. 

A statement from the business said: “Aqualux Ltd is a well-regarded brand having a presence in the sector for almost 40 years. 

“Unfortunately, due to the impact of the cost-of-living crisis on the home improvement sector and ongoing financial pressures owing to the material cost inflation, the business was no longer able to keep trading.”

Autumn might have arrived accompanied with dark, wet clouds but there is over a third of the year left so there’s plenty of time to plan ahead for the rest of 2024 and beyond. 

Get in touch with us today to arrange a free initial consultation with one of our team of expert advisors at a time most convenient for you.

Once they get a better idea of your unique circumstances, they’ll be able to advise you on what options you have depending on your medium and long term goals and what you can do right now to begin to bring them to fruition.