A POPULAR car dealership is closing for good as 46 staff are set to lose their jobs after suffering money troubles.
The franchised car dealership fell into administration after failing to find a new buyer.
GettyThe car dealership has shut its doors after falling into administration[/caption]
The motors company announced it will finally close its doors this week following a frustrated battle to keep afloat.
Vauxhall dealer CMS Kidderminster in Churchfields was popular among drivers for selling new and used vehicles, accessories, parts and servicing.
But 1987 business fell into administration after months of being unable to find a potential buyer.
Administrator Tony Wright said: “Despite efforts to find a suitable buyer to take the business forward, there was no prospect of a sale.
“With regret, this means that we have begun to close down its operations and have made the majority of staff redundant.”
Dealership’s sales and deals have already ceased trading and over 46 employees have now been made redundant.
Mr Wright added: “Our team is working with impacted staff in making claims to the redundancy payments service.”
According to reports, the franchise started tumbling after bosses found a whooping £3.7m of unexplained discrepancy in its latest accounts.
The company made a shocking £79,295 loss, according to its annual accounts for previous years.
After receiving millions in government grants between 2021 and 2020, directors found “an unexplained discrepancy of £3,689,292” in their accounts.
The report added: “The directors are continuing to investigate the stock difference and have engaged with professional advisors in order to determine the proper accounting treatment.”
However, after “several detailed investigations”, bosses were unable to provide sufficient evidence to support the stock.
The firm then began a process of winding down its operations after also struggling throughout the Covid-19 pandemic.
Bosses also faced staff shortage after reducing its work force to 79.
It comes as sales of used cars slumped 8.5 percent only last year – with car dealerships suffering the most.
The Society of Motor Manufacturers and Traders reported just 6.9m cars changed hands in 2022, down from 7.5million the previous year.
As more electric vehicles hit our roads, mechanics across Britain claim battery engines are driving them out of business.
Shocking statistics from the Institute of the Motor Industry show only 18 per cent of UK mechanics are trained to work on electric vehicles.
The organisation has estimated that the country needs an extra 107,000 qualified technicians to meet soaring demand by 2030.
It comes as a much loved dealership recently announced plans to wind up its retail department in January.
Furness Park, in Barrow-in-Furness, Cumbria, shut its doors after an extensive consultation.
Elsewhere, a major motors store and repair shop will close down in weeks after suffering “challenges”.
Halfords is pulling down the shutters on its branch in Stroud, Gloucestershire, in October.
GoogleVauxhall dealer CMS Kidderminster in Churchfields is now closing forever[/caption]