|Another Store Closes On Putney High Street|
Phones 4u parent company has gone into administration
The Phones 4U shop on Putney High Street is closed as its parent company goes into administration. Nearly 6,000 jobs are at risk in the chain which is owned by private equity firm BC Partners.
All 550 stores were closed today - it is the second biggest UK mobile phone retailer.
Phones 4U blamed the move on mobile network EE's decision not to renew its contract- Vodafone also decided not to renew its contract.
The company said established mobile contracts taken out through it would not be affected, although phones ordered and not dispatched - for example anyone ordering the new iPhone 6 over the weekend - would be. A customer service line will be open from today.
It also said staff should turn up to work as normal, when they would be given further details and would "continue to be paid until further notice".
There was no answer to phone calls to the Putney store today. The letter on the door reads:
There are reports that Carphone Warehouse is about to announce extra staff and this would provide an opportunity for some of the staff from Phones 4U.
All existing mobile phone contracts will be honoured, the company says. Networks will continue to provide mobile services to these customers, so customers will be able to continue using and paying for their phone as normal.
The move comes about as phone companies seek to deal directly with customers instead of using companies such as Phones4U as a middle link.