High street fashion retailer M&Co has gone into administration, putting jobs at seven stores across Tayside and Fife at risk.
Teneo Financial Advisory has been appointed as joint administrators as the search for a new buyer begins.
It marks the second time the firm has faced collapse in two years.
Seven stores across Tayside and Fife are at risk, including in Glenrothes, Perth and Broughty Ferry.
The firm also operates stores in Blairgowire, St Andrews, Forfar and Montrose.
Rising costs and changes in customer confidence
The announcement marks the latest blow to the country’s High Streets.
The company is expected to continue trading both online and in-store until a new owner can be secured.
However, M&Co’s website has today been taken offline.
Locals reacted to the news on Facebook, with many sharing their disappointment at the news.
Margaret Greer commented: “So sad, I buy a lot from here.”
Rona Whyte said: “Sad to hear, it had some lovely things.
“Only shop I could get trousers to fit me. Was a bit pricey though”
Trina Keany added: “This is a blow for us older ladies in Glenrothes.”
Fears over local jobs
The cost of living crisis has claimed several businesses across Tayside and Fife this year, with the latest news from M&Co leaving fears over locals jobs.
Perth City Centre Councillor, Peter Barrett, said. “M&Co have two stores in our area, in Perth and Blairgowrie.
“The news that administrators have been appointed will be worrying for staff. Especially at this time of year and in the midst of the cost of living crisis.
“There has been no announcement of immediate store closures and I hope that the administrators will be able to find a buyer for the Perth and Blairgowrie in particular and that the livelihoods of local employees can be preserved.
“I have contacted the Council’s economic development team to ask that all advice and support that the Council can provide is mobilised.”
St Andrews Councillor, Jane Ann Liston, voiced similar concerns.
She said: “This is a most unwelcome blow, and particularly for the staff at this long-established shop.
“I hope that as many of the posts as possible will be able to be saved.
“It’s bad enough for this sort of news to break at any time but is especially cruel just before Christmas, when one would have thought that sales would be at their highest and retail most secure; sadly, this is apparently not the case.”
Councillor urges locals not to give up hope
But Craig Duncan, Councillor for Broughty Ferry, has advised locals not to give up hope.
He said: “It’s really sad news, I would hope that maybe the administrators could find a future for the Ferry store and hopefully all of them.
“It’s quite a sizable store and always quite popular.
“It’s obviously quite disconcerting for the staff and customers but I would say at this time, don’t give up hope because I hope the administrators will try their best to try and make something out of the situation.”
A spokesman for Teneo says rises input costs and a decline in customer confidence had severely impacted the company’s trade.
He said: “Like many retailers, the company has experienced a sharp rise in its input costs, which has coincided with a decline in consumer confidence leading to increased pressure on cash flows and trading losses.
“No immediate redundancies have been made and the joint administrators are exploring a potential sale of the business in an accelerated timeframe, during which time the company will continue to trade from its stores and website.”
