THE LATEST victim of the coronavirus is an established East Lancashire business which has been operating in the county for almost 30 years.

Bosses at Mercol Office Furniture in Darwen announced the company was to cease trading in a letter to staff, saying that the pandemic has taken a ‘significant’ toll on the business.

It is thought that in the region of 40 people have been left jobless as a result of the news.

In a letter seen by the Lancashire Telegraph, bosses listed Covid-19 as the reason for closure, stating the company’s financial and cash position had been severely impacted by the pandemic.

Managing director Steven West said to staff: “It is with deep regret that I need to inform you that Mercol (Office Furniture) Ltd is ceasing to trade with immediate effect. The lockdown due to Covid-19 severely impacted the company’s financial and cash position.

"We re-opened on 11th May with the expectation that, through a combination of government support and a return to trading, we would be able to resolve the cash position. Sadly, this has not been the case.

“I appreciate that this will come as devastating news to you all. I am truly sorry.

“I also appreciate that money will be everybody’s immediate concern. Administrators Leonard Curtis have engaged Evolve IS Ltd to support Mercol’s employees at this time.”

Last month it was reported that some 21,000 more UK businesses collapsed in March than the same month a year ago, the first sign of the impact the coronavirus was having on the nation’s businesses.

One member of staff, who wished to remain anonymous, said he was heartbroken when he received the letter.

He said: “It all felt quite impersonal the way in which we were all sent the generic e-mail, many of us have worked at the company for several years and were never expecting this to happen.

“I have no idea what I’ll do next, it looks like I’ll be sat staring at the same four walls of my home for the foreseeable future, but there is nothing more that can be done now.

“Of course this must be devastating for the owners of the company too, but staff have been hit hard by the news.”

Ward councillor for Darwen East Paul Browne said: “This is a real sickener. These are significant job losses for a town like Darwen and I feel for those who are now left without work.

“However I fear this is only the tip of the iceberg and that many of the town’s traders may be facing the same fate.”

Mercol were contacted directly and through Leonard Curtis but were unable to provide a comment.