Carpetright customers have had installations cancelled and ‘no refunds’ after collapse | UK | News
Shocked Carpetright customers fear they will be left destitute after it was announced that 200 stores would close following the collapse of the business.
Rival company Tapi has saved 54 stores but said it would not fulfill outstanding orders from customers at the branches that closed. The stores saved by Tapi are expected to reopen on July 26.
According to BBC News, the approximately 1,500 employees who were made redundant will not be rehired. In total, 218 Carpetright stores will be permanently closed as a result of the partial rescue plan.
Shoppers reacted with horror to news of Carpetright’s collapse on social media, with one writing on X, formerly Twitter: “I paid £2,400 on Monday this week but then they called me this morning to say the carpet was out of stock and they couldn’t refund either.
“So no carpet and £2,400 of hard earned money spent,” they added.
Another wrote: “I’ve had a day already and found out that Carpetright have taken £1,800 from my mother for a new carpet. Full amount paid up front. The installation was cancelled this week. Help!”
Sian Bowers, a mother-of-two from Dagenham, told BBC News she had already spent £681 on new carpet for her home earlier this month and was worried she might not get her money back.
Bowers told the outlet that she had already called the company and was told her order would not be shipped.
“My bank told me they couldn’t do anything because I paid [with] “I don’t have a chip and PIN,” she said. “I’m not able to redeem my card until I receive a refund.”
Ms Bowers said she had been saving money for two years to buy the rug using part of an inheritance she received when her mother recently died of leukaemia.
She says she now regrets paying the full cost up front: “I knew it was a lot of money, but I thought, ‘Just do it,'” he said.
Carpetright saw sales plummet earlier this year following a cyberattack that knocked out its ordering system, although the company had seen a slowdown in consumer demand for some time before that.
Jeevan Karir, chief executive of Tapi, which is taking over part of the company’s operations, said on Tuesday he was “desperately sad” that it had not been able to save more jobs and customer orders.
Administrators PwC have confirmed that the majority of orders will not be honoured. This includes orders placed online or in the 218 stores slated for closure.
Orders from the 54 stores purchased by Tapi will continue, but customers will have to request a refund and then place a new order with the new company Carpetright, The sun reports.
Carpetright had stopped accepting payments for orders until the day of installation, Friday 12th July.
Some customers will be able to get a refund using card protections and should contact their bank to discuss their potential options.
Customers who pay by credit card will have to contact the service provider directly. The company will also no longer accept gift vouchers.
Karir said: “Our goal, initially, was to try to save the whole of Carpetright.”
Although Tapi quickly realised this was not sustainable, he said, adding: “The company has been materially loss-making for several years and the owner holds significant debt.”