RISING COSTS CAUSE FIRM TO CLOSE

Date : 30.09.06

Stiff overseas competition and soaring energy costs have plunged a county firm into administration.

Tanya Knitwear, which employed 62 people before making the move, has bowed to intense pressure, and it is believed has already been forced to let about 20 workers go.

Today bosses said it was a sad move for the Fiskerton company which opened its own dye house only in 2005.

However, the impact of rises in the National Minimum Wage threatened to push up its losses.

Meanwhile, it is understood that Leeds-based administrator, BWC Business Solutions, is looking at the future options for the business.

One of the firm’s directors said: “This is particularly disappointing after all the hard work we have done since our management buyout in July 2003.”

Tanya had previously been part of Leeds-based Allied Textiles since 1969. That firm itself was the subject of a management buy-out in 2000.

“Much progress had been made in expanding into new markets, but this has not been enough to protect the business against the relentless increase in volumes of cheap imports and cost pressures,” said the spokesman.

“We are the last UK knitwear-maker with its own dyeing facilities and we have been on our Fiskerton site since 1948. It really is very sad for our employees.”