Client of TNT Fashion Group enters administration

There could be job losses at TNT Fashion Group owing to one of its clients, clothes retailer Bay Trading, calling in administrators.

Business advisory firm Deloitte was appointed to Epsocan, which also trades as Bay Trading, by parent group Alexon on 27 April. TNT Fashion Group will provide logistics services while the company is trading in administration.

Philip Bracken, development director at TNT Fashion Group, tells Roadtransport.com: "We use our shared-user network for this contract so there is no specific fleet and staff members solely dedicated to this contract."

He adds that new business has recently come on board which would help to minimise the number of potential redundancies.

Deloitte says "material uncertainty surrounding Bay Trading's performance" led to Alexon's credit insurance provider withdrawing cover for its suppliers.

The high street fashion chain has approximately 1,800 employees and runs 175 branches with 80 concessions across the UK.

Deloitte hopes to sell the business as a going concern.