Peugeot car dealer Howes and Sons Ltd has been placed into administration after being instructed to fill a hole in its pension fund.
The re-assessment of the Peugeot dealer’s Motor Industry Pension Fund uncovered a large deficit, which was disputed by the company.
The joint administrators, David Wilson and Julian Pitts of Begbies Traynor, are now trading the business while a buyer is sought. There are no immediate redundancies planned amongst the firm’s 13 staff.
Due to the deaths of two employees and the oncoming retirement of the managing director, there is no natural successor to the business.
Julian Pitts said: “This is a long established business with a good reputation and some valuable assets including a large leasehold site in a prominent location in Fakenham, comprising a well-maintained showroom, offices, and workshop facilities.”
“The directors and shareholders of the company very much regret that they have had to come to the decision to place the company in administration
The administrators are confident that the business will sell, with its brand and strong location.
Howes and Sons, which trades as Howes of Fakenham, dates back to 1784 and has been selling cars in Fakenham for the past 50 years, with revenues of £3 million.