41 Comet stores closing down by November-end, 1,000 jobs under threat

Written on:November 19, 2012
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Comet store

Comet store closures put 1,000 jobs at risk

Comet’s administrators Deloitte finally delivers the bad news. 41 Comet stores will be closing down by the end of November, which means that around 1,000 jobs of Comet staff are under threat.

The first of the 41 store closures will begin next week and the Comet closing down fire sales had begun at 27 of the stores yesterday and will start at the other 14 stores early next week. Comet administrator Deloitte has already announced that 330 jobs will be axed at Comet’s head office and the Comet store closures mean that another 1,000 jobs are likely to become redundant.

When Comet fell into administration, the electrical chain had 236 stores in the UK and employed 6,611 staff. But the future of the 195 Comet stores that will remain trading over Christmas remains uncertain.

Deloitte said that the other Comet stores will continue to function normally but said that the discounts in the sale will be more generous than they have been since the Comet closing down fire sale began on November 8. Last week, Comet’s fire sale which included measly discounts of 10-20% left customers disappointed. The fire sale which was available only in stores low level of discounts on items that customers would have no one-year guarantee for.

Furthermore, Comet plans to close down the retailers’ home delivery service, risking 500 jobs. Deloitte is on the look out for a suitable buyer for the chain that suffered due to the drop in consumer confidence as Brits faced the biggest squeeze on spending since the financial crisis in 2008.

Comet experienced the crunch when it was unable to secure credit from many of its suppliers to order goods for Christmas due to a lack of cash.

Comet closing down stores next week, Shop Direct emerges as potential buyer
Comet fire sale discounts of 10-20% dashes customers hopes


13 Comments add one

  1. john says:

    Does anybody have any news on the servcie side of comet, all the talk is about the shops and hdp, but without these the servcie centre can not operate. we are finding all our info out from the press and being told nothing from within?

  2. Pete says:

    It’s sad that Comet staff will not be in the festive mood of Christmas. Hope the Lord brings them some cheer and resolves their misery.

  3. Ivans says:

    If they can’t be used as shops they should be converted to housing. We have a supply issue as far as housing is concerned.

  4. Mike says:

    Comet’s idea of a close down sale was far from the real definition. I could buy a camcorder for a much cheaper rate at Amazon. Trying to fleece customers even after collapse?

  5. Kelly says:

    It was clever of them to have only in-store discounts. Online shoppers would have at least avoided the pain of travelling to the stores.

  6. Luke says:

    The strategy is this: When a customer walks in, he would have travelled quite a lot of distance unless he’s living close by. So even if he’s disappointed, some may not want to return empty-handed. So, it would cash in on these customers.

  7. Luke says:

    Why is everyone talking only about discounts? There are a 1,000 people out of job there. Isn’t that more important?

  8. Edward says:

    Sometimes saving £5 is not more important than seeing a neighbour in a job, at least he will potentially be putting the fiver in my pocket by buying the goods from the employer I might work for. But I guess those times have gone.

  9. Sam says:

    It’s a tricky situation when a company becomes insolvent. On one hand you want to sell as much stock as possible, one the other you have an obligation to make as much profit as possible to pay your creditors. In between, customers become scapegoats.

  10. Harry says:

    There were times when Comet had to be reminded of the Sale of Goods act by its customers for its horrible customer service.

  11. Frank says:

    The last time I visited a Comet store was the Edinburgh branch. The salesperson was friendly but didn’t seem be interested in selling me the laptop that I needed. Very strange!

  12. Ben says:

    I wasn’t one of Comet’s better customers, nonetheless I am sad to see the demise of another bricks and mortar store.

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