UK's largest timber firm axes 169 jobs and closes six sites in Scotland

The UK’s largest timber firm has axed 169 jobs and shut six sites in Scotland as it entered administration.

National Timber Group, which operates companies such as Rembrand, Scotia Roofing, and Forfar-based Orchard Timber Products, appointed administrators on Wednesday.

The company has 25 locations in Scotland, and six of those, in Dumbarton, Forfar, Newton Stewart, Edinburgh – Hawkhill, Anniesland and Stirling, have been closed with immediate effect.

169 jobs in Scotland have been lost as part of 561 roles across the UK being made redundant.

The business, which has a combined turnover of £350m, employs 1,200 people across the UK.

National Timber Group has 25 locations in Scotland National Timber Group

The company also has bases, including merchant and distribution locations, in Aberdeen, Inverness, Ayr and Skye, among others.

On Wednesday, administrators Alvarez & Marsal were appointed to the firm, which is the UK’s largest independent timber distribution and processing group in the UK, headquartered in Sheffield.

While remaining sites continue to operate, some of the company’s production facilities have been mothballed.

The administrators have launched a sale process for the business and assets of the group and have encouraged any interested parties to contact them.

Michael Magnay, joint administrator, said: “National Timber Group is the UK’s leading timber supplier to joiners, housebuilders and contractors, operating under a number of widely recognised brands.

“As joint administrators, we have launched an accelerated sale process, and we encourage any interested parties to contact us as soon as possible.

“We are encouraged by the level of interest so far, and we are hopeful of finding a buyer for all or parts of the group.

“Regrettably, the company’s liquidity challenges have led to a number of immediate redundancies.

“We are committed to supporting the affected employees through the redundancy process. We appreciate the support and patience of the highly skilled workforce in difficult circumstances, particularly at this time of year.”

The firm’s CEO, Mark Dixon, said last week it was in “advanced discussions” with an interested party regarding the sale of a substantial part of the business.

Mr Dixon said the business has been experiencing “difficult trading conditions and liquidity challenges for some time”.