McEwens of Perth department store to close with loss of 130 jobs

McEwens was placed under the control of GRC, the recoveries arm of the Royal Bank of Scotland, in 2010, and this morning a spokeswoman for the business said that despite an “exhaustive search” for investment solutions, the firm had run out of options.

Bosses also confirmed that the closure will result in the loss of 130 jobs and that the company will go into administration at 1pm today.

In a statement, John and Georgina Bullough said: “Despite these difficulties, we have worked hard with little to no working capital but with fantastic and loyal staff, to make McEwens the very best it could be.

“Sadly, this has not delivered the increase in trade that was necessary to keep the business solvent.”

Councillor Ian Miller, Leader of Perth & Kinross Council said: “The closure of McEwens is a significant loss for Perth and the wider region, and our thoughts are with the owners and employees during what I can only imagine is a devastating time.

“McEwens is a Perth institution dating back over a hundred years and has been a unique feature on the city’s landscape since it first opened its doors. As the only independent department store in Scotland it stood the test of time and for many was the reason for a visit to the city.

“What this loss will mean to the city will become apparent over time but for now, the Council’s priority is to offer whatever support we can to the employees affected by this very sad turn of events.”

A statement from the local authority said: “The Council has exhaustively examined all of the available options and means of support regarding the future of McEwens, and it is with regret that we are not able to step in and purchase the properties.

“This decision has not been taken lightly and unfortunately within the timeframe available to act it is not financially or legally possible for us to do so. Where we could take action we did by setting aside the payment plan for the 2015/16 business rates which are past due for the premises.

“We will work with the employees who have been affected and make available our dedicated resources to help them find suitable employment as quickly as possible.

“Looking ahead, the Council will work together with its partners to review the City Plan following this announcement with a view to exploring how we can support additional employment opportunities within the city centre. We will consider the position we now face and all of the options available to us in terms of what support we can offer the both the Perth retail sector and wider industries of the region which could be impacted by this sad turn of events.”