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Condor Logistics to close doors after Channel tax relief chopped

11th October 2012
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Page 5, 11th October 2012 — Condor Logistics to close doors after Channel tax relief chopped
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By Ashleigh Wight

SOUTH COAST haulier Condor Logistics will close at the end of December, putting about 180 jobs at risk.

The Portsmouth-based firm, part of Condor Group, specialises in deliveries between the UK and the Channel Islands, and will continue to provide sea freight services. However, it said it made significant losses as a result of the government’s decision to remove Low Value Consignment Relief (LVCR) in April, which allowed goods under £15 from the Channel Islands to be sold to UK customers tax-free.

Ken Soar, director at Condor Group, said: “We have taken the difficult decision to start this consultation with our employees about the closure of Condor Logistics after careful consideration, and only after many other options have been taken into account.

“We’re aware that this will cause anxiety to our colleagues working in the logistics division in Portsmouth and we are committed to support them at this difficult time.” The Palletways member had recently triumphed its investment in seven new Ivecos and recruitment of 10 additional staff to handle network volumes.

All employees are now being offered redundancy packages and support services to help them find new jobs, as well as the opportunity to apply for roles elsewhere in Condor Group. Palletways is now preparing to re-allocate collections and deliveries to its other members as of 31 December.

“Condor Logistics has provided excellent service in its time with Palletways and will continue to do so until the end of the year,” a spokeswoman said.

Condor Logistics is licensed to run 45 vehicles and 300 trailers and employs about 110 people in the UK, with an additional 20 employees in Guernsey and 50 in Jersey.