1. ITV Report

Over 900 redundancies as 71 Patisserie Valerie stores close

Over 900 people are to be made redundant after the cake chain collapsed into administration. Credit: PA

Over 900 people are being made redundant as cake chain Patisserie Valerie closed 71 stores after collapsing into administration.

The company's bakery in Spitalfields has been closed along with 27 standalone stores, 19 Druckers outlets and 25 Patisserie Valerie concessions in Debenhams, Next and at motorway service areas at the cost of 920 jobs, KPMG confirmed.

It will be "business as usual" for the remaining 122 outlets while the professional services firm seeks a buyer for the business.

David Costley-Wood, partner at KPMG and joint administrator, said the firm was "pleased" with the level of interest the business had received.

Patisserie Valerie are to close 71 stores and outlets across Britain. Credit: PA

Prior to its collapse, the cake chain employed more than 3,000.

Patisserie Valerie said on Tuesday that discussions with its lenders HSBC and Barclays to extend a standstill agreement on its debts had failed, leaving it with no option but to call in corporate undertakers.

The cake firm's parent company Patisserie Holdings has been grappling with the fallout of an accounting fraud since October which the business had not been able to recover from.

The extent of the fraud meant it was unable to renew its bank loans and it did not have sufficient funding to continue trading.

Chairman Luke Johnson has extended an unsecured, interest-free loan to help ensure that the January wages are paid to all staff working in the ongoing business.

Last week, Patisserie revealed KPMG had been hired to carry out a review of all options following the accounting scandal which pushed it close to collapse in 2018.

It also unveiled the "devastating" extent of irregularities in its books, which included thousands of false entries into the company's ledgers.

The firm said an initial investigation pointed to cashflow and profitability being worse than previously thought when the problem was first discovered in October.

The discovery of a black hole in the company's accounts in October last year pushed it into a full blown crisis which saw it almost cease trading.

  • Which branches of Patisserie Valerie stores have closed?
  • Debenhams concessions:

Basildon Debenhams - The Eastgate Centre Beverley Debenhams - Unit 4 Flemingate Centre, Flemingate Chelmsford Debenhams - 27 High St Edinburgh Debenhams - 109 Princes Street Glasgow Debenhams - 97 Argyle Street Hereford Debenhams - Auctioneers Walk, The Old Market Liverpool Debenhams - 42 Lord Street London Debenhams - 10 Garratt Lane, Southside Shopping Centre, Wandsworth London Debenhams - Westfield Shopping Centre, Ariel Way London Debenhams - 334-348 Oxford Street Middlesbrough Debenhams - The Corner, 1 Newport Rd, Newport Debenhams - 1-7 Friars Walk Shopping Centre, John Frost Square Oxford Debenhams - 1-12 Magdalen Street Redditch Debenhams - Kingfisher Shopping Centre, 19 Watford Walk Stevenage Debenhams - Roaring Meg Retail Park Telford Debenhams - Telford Shopping Centre Wigan Debenhams - Unit 39 Grand Arcade Shopping Centre, Compton Street - Druckers outlets Banbury Druckers - Unit 28, Castle Quay Shopping Centre Castle Street Birmingham Druckers - Cafe 1, Upper Mall West Birmingham Druckers - 100 Great Western Arcade Burton Druckers - Centre Mall Cafe, Cooper Square Shopping Centre Cheltenham Druckers - Unit 28 Regent Arcade Coventry Druckers - 66 Hertford Street Dudley Druckers - Unit L78C Finance Mall Merry Hill Centre Hanley Druckers - Unit 230, The Mall Cafe The Potteries Shopping Centre Leamington Spa Druckers - Unit 35 Royal Priors Leeds White Rose Druckers - White Rose Shopping Centre South Mall Leicester Druckers - Fosse Park Food Court Manchester Druckers - 169 The Arndale Centre Nottingham Druckers - 218 Victoria Centre Poole Druckers - The Mall Cafe Dolphin Center Redditch Druckers - 25E Kingfisher Walk Solihul Druckers - 26 Jubilee Walk Stratford Upon Avon Druckers - 43 Henley Street Tamworth Druckers - 51 Ankerside Centre George Street Wolverhampton Druckers 61 Dudley Street

  • Motorway concessions

Baldock - Unit 3 Extra MSA Baldock, A1(M) Junction 10 Beaconsfield - Unit 2, M40 Junction 2 Cambridge - A14 (M11) Cambridge, Boxworth Peterborough - Great North Road, Haddon

  • Next concessions

Cheltenham Next - 1A-1B, Gallagher Retail Park, Tewkesbury Road Hounslow Next - Unit 1 Treaty Centre, 263-265 High Street Manchester Next - Unit 1C, Barton Square, Barton Dock Road Manchester Next - Unit 22 Manchester Fort Shopping Centre, Cheetham Hill Rd

  • Standalone Patisserie Valerie stores

Bradford - The Broadway Brighton - 36 East Street Bristol - 57 Queens Road Bury - 26-28 The Haymarket Chester - 31 Bridge Street Chippenham - Unit 1b Borough Parade Cwmbran - 8 The Mall Derby - 2 Crown Walk Doncaster - Unit 100, 20 St Sepulchre Gate, Frenchgate Shopping Centre Glasgow - B12 Glasgow Fort Glasgow - 18-20 Royal Exchange Square Gloucester - 4 Southgate Street Leeds - Unit 2 Ground Floor, 8 St Pauls Street Liverpool - Unit 1, 35 Whitechapel London - 37 Brushfield Steet London - 94 Holland Park Avenue London - 44 Old Compton Street London - 24-26 Turnham Green Terrace London - 27 Kensington Church Street London - 15 Bedford Street London - 80 Long Acre London - 215 Brompton Road Manchester - 2-4 St Ann Street Newcastle - 141 Grainger Street Peterborough - 2 Cathedral Square Salisbury - 24 Butchers Row Southport - 365 Lord Street