Fleet News

Dealer group sites to close

Dixon Motor Group receiver BDO Stoy Hayward has announced that 27 dealerships will close today due to a lack of interest from potential buyers with around 800 employees made redundant.

Pendragon will acquire 19 dealerships, securing 600 jobs. They are: four Citroen sites (Bradford, Doncaster, Hull and Rotherham), two Ford dealerships (Bury and Rotherham), one Kia (Rotherham), three Nissan (Doncaster, Hull, York), three Peugeot (Doncaster, Mansfield and Wakefield), two Renault (Hull and York), four Vauxhall (Beverley, Horsforth, Hull east and Hull west).

BDO told Fleet News' sister title AM: “Regrettably, due to the inability to secure sufficient funds for ongoing trading the remaining 27 dealerships will be closed today and it is, therefore, with regret that the majority of the remaining employees will be made redundant with immediate effect.”

This news comes after Shay Bannon, Toby Underwood & Graham Newton, business restructuring partners at BDO Stoy Hayward, were appointed as joint administrators of Dixon Motor Group on Thursday, July 26, due to difficult trading conditions.

Newton, business restructuring partner at BDO Stoy Hayward, said: “Since our appointment, we have carried out a business review and held discussions with all of the car manufacturers to try to secure the future of all of the dealerships.

“The successful sale of 19 dealerships will protect the future of 600 jobs across the region.

"Regrettably, in the time available, we have been unable to conclude any sales of for the remaining dealerships within the group and, as a result, have no alternative but to close 27 sites with immediate effect, resulting in 800 job losses."

The administrators have set up a customer helpline to deal with customer related enquiries.

The free phone number is 0800 612 1340. A customer claim form is available from www.dixonmotors.co.uk.

BDO has closed four Citroen (Birstall, Halifax, Scunthorpe, Wakefield), two Ford (both Sheffield), one Hyundai (Lincoln), one Kia (York), eight Nissan (Birstall, Grimsby, Halifax, Huddersfield, Lincoln, Scunthorpe, Sheffield, Worksop), two Peugeot (Scunthorpe, Grimsby), two Renault (Huddersfield, Lincoln) and two Vauxhall (Menston, Selby). It has also closed two head office sites in Doncaster and Barnsley and the used car centre in Doncaster.

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