WORKERS are celebrating at a closure-threatened Blackburn store after hearing their jobs have been saved.

And there was further good news for customers of electrical chain PowerHouse who paid for goods before the national company collapsed. The firm has now promised to deliver all outstanding orders and said it is working towards honouring all warranties bought at the Whitebirk store.

Store manager, George Barton, said: "We had a few hairy weeks where we didn't know what the future held for us. But now we are feeling very confident about business again.

"Our new owners have been marvellous. We're so pleased that they have stepped in to resolve the deliveries and many of the warranties of the old company's customers, even though they were under no obligation to do so.

"It's great to be able to give these customers some very positive news after weeks of uncertainty. We have a good stock position and we're finding customers curious to find out what the New PowerHouse can do for them."

The new owners, drawn from New Zealand-based Pacific retail Group (PRG), took over the viable parts of the nationwide electrical retail chain at the start of September. All 16 workers at the Blackburn store were facing possible redundancies but have now been told their positions are secure.

New PowerHouse is working with partner companies to make sure that customers who bought extended warranties from the old PowerHouse will be contacted by those running the schemes to honour them.

New PowerHouse chief executive, Peter Halkett, added "Our customer service charter relies on honesty and openness with our customers. We felt that it was deeply unfair that many of the customers of the old PowerHouse business had lost out.

"New PowerHouse is about making it easier for customers and taking them extremely seriously -- they are our most important asset. We need to demonstrate to them our long-term commitment and build their confidence."

The 16-strong team at Blackburn's New PowerHouse store are now looking forward to a busy Christmas season. Customers with urgent enquiries should contact its customer services on 01869 329450.