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Logistics

Tuffnells goes into administration

James McLoughlinBy James McLoughlin13th June 20232 Mins Read
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Freight distributor Tuffnells Parcels Express Limited has announced that it has been forced to appoint administrators and “make the majority of staff redundant” as a result of the financial position of the business.

Rick Harrison and Howard Smith from Interpath Advisory were appointed joint administrators.

Cost inflation, market competition, and the impact of the pandemic have all been cited as reasons for the company’s difficult financial situation.

Rick Harrison, Managing Director at Interpath Advisory, said: “Tuffnells is one of the UK’s most recognisable logistics companies, providing delivery services to over 4,000 businesses across the UK under its ‘The Big Green Parcel Machine’ brand.  

“Unfortunately, the highly competitive nature of the UK parcel delivery market, coupled with significant inflation across the company’s fixed cost base in recent times, has resulted in the company experiencing intense pressure on cashflow.”

Interpath have confirmed that only 128 of Tuffnells’ 2,200 employees have been retained. Speaking to Logistics Manager, a spokesperson for Interpath explained that these remaining members of staff are spread across all of its 33 sites and head office to “assist administrators in their administrative duties” including the securing of assets.

Harrison noted: “[The] news will be particularly devastating for Tuffnells’ 2,200 dedicated employees. Regrettably, with deliveries suspended and with no prospect of them resuming in the immediate term, we have had to make the majority of staff redundant.

“Our utmost priority will be to provide all those impacted with every support they need in making claims to the Redundancy Payments Office and minimising disruption to customers.”

Howard Smith, Managing Director at Interpath Advisory, added: “Customers are advised that all transport hubs and depots have been closed until further notice. Our team will be making contact with customers over the coming days to arrange parcel collection.”

Founded in 1914, Tuffnells has been making deliveries in the UK and to over 160 destinations worldwide. In 2020, the company was acquired by Palm Bidco Limited.

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James McLoughlin
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James McLoughlin is a Journalism graduate from the University of Leeds and Senior Reporter for Logistics Manager. James is interested in all aspects of the supply chain. In his spare time, James is a big football fan and a music lover.

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