More than 2,000 jobs lost as Sheffield-headquartered Tuffnells Parcels Express goes into administration

More than 2,000 jobs have been lost at a Yorkshire-headquartered parcels business which has struggled to cope with the impact of the pandemic and rising inflation.
By Greg Wright
Published 12th Jun 2023, 12:55 BST
Updated 12th Jun 2023, 14:35 BST

Rick Harrison and Howard Smith from Interpath Advisory have been appointed joint administrators to Tuffnells Parcels Express Limited, which is headquartered in Sheffield and has 33 depots across the UK. Tuffnells is a distributor of mixed freight with a specialism in handling items of irregular dimension and weight (IDW). The privately-owned business delivers both within the UK and internationally, handling the logistics to more than 160 destinations worldwide.

In a statement, Interpath said: “The company returned to private ownership in 2020 when it was acquired by Palm Bidco Limited. Since then, the company has had to navigate a number of pressures which have impacted trading, including the impact of COVID-19, high cost inflation and an increasingly competitive market. In recent weeks, the financial position of the business was such that the company needed to seek additional financial support. After a number of options were explored, the directors took the difficult decision to seek the appointment of administrators.”

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Rick Harrison, managing director at Interpath Advisory and joint administrator, said: “Tuffnells is one of the UK’s most recognisable logistics companies, providing delivery services to more than 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.”

More than 2,000 staff will be made redundant after Sheffield-based delivery giant Tuffnells Parcels Express fell into administration. Tuffnells has been under pressure since it was taken into independent ownership in 2020, hit by Covid-19 pressures, rising costs and increased competition, administrators at Interpath said.More than 2,000 staff will be made redundant after Sheffield-based delivery giant Tuffnells Parcels Express fell into administration. Tuffnells has been under pressure since it was taken into independent ownership in 2020, hit by Covid-19 pressures, rising costs and increased competition, administrators at Interpath said.
More than 2,000 staff will be made redundant after Sheffield-based delivery giant Tuffnells Parcels Express fell into administration. Tuffnells has been under pressure since it was taken into independent ownership in 2020, hit by Covid-19 pressures, rising costs and increased competition, administrators at Interpath said.

Mr Harrison continued: “Today’s 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 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.”

The administrators have retained approximately 128 staff to support them, a spokesman said.

Related topics:SheffieldYorkshire