Keelham Farm Shop being wound down and staff made redundant

Joint administrators, who told staff on Thursday, said despite initial interest from potential buyers, it had not been successful.

The farm shop, on Gargrave Road next to the A65/A59 roundabout, closed unexpectedly just after Christmas with its around 100 members of staff only finding out in the morning of the closure.

Jonny Marston, managing director of administrators Alvarez and Marsal’s restructuring team in Leeds, said: “Following the appointment of joint administrators from Alvarez & Marsal to Keelham Farm Shop Ltd on January 5, the joint administrators have been exploring options for the sale of the business as a going concern.

"While interest was received, this was not capable of being delivered within the relevant time scales.

"Regrettably, the business is now being wound down. All employees have been made redundant, effective from January 18.

"The joint administrators are continuing to work with the employees to assist them with claiming their entitlements and obtaining other employment.

"Any parties interested in taking on any of the employees are invited to contact the joint administrators.

"The joint administrators are continuing to look to realise the assets of the company, including freehold property, stock, and plant machinery. Any interested parties should contact the joint administrators.”

One former employee, who wished to remain anonymous, said: "We, the staff of Keelham Farm Shop, were told by the administrators that despite their best efforts, no buyer would be taking the business on as a going concern, and therefore as of today, we were all being made redundant, with immediate effect.

"The administrators will continue to look to sell the business, but we are no longer guaranteed a job if such a sale does indeed go through."

They said there are "lots of very unhappy ex-Keelham employees" and added: "We have been advised by the administrators that we will all be contacted to assist us in claiming any monies owed."