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Great Northern Hotel staff lose jobs as company goes under
DEVASTATED workers at the historic Great Northern Hotel today spoke of their "nightmare" after a shock letter informed them they had lost their jobs – because the company managing the business is insolvent.
DEVASTATED workers at the historic Great Northern Hotel today spoke of their "nightmare" after a shock letter informed them they had lost their jobs – because the company managing the business is insolvent.Staff at the hotel, which sits opposite Peterborough railway station, expected to get back to work following what they understood was a temporary lay-off while the building underwent a six-week refurbishment starting on July 1.
But yesterday, a letter from bosses at Cre8, the company which has been running the hotel following its purchase by Renelson Investments SA for 3 million in April, dropped the bombshell that all 49 employees would be made redundant.
Signed by Cre8 director Lee Power, who fronted the deal to buy the hotel when former owners Mistvalley went into receivership in February, it said a firm of insolvency practitioners, Carter Clark, had been instructed to place the company into voluntary liquidation.
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Headed "to all employees", the letter said: "I advise that after due consideration, it has been decided by the directors that the company should cease trading. As a consequence of this, your employment has been terminated."
However, the hotel car park remained open today – charging station commuters 12 a day to park, an unauthorised operation which has already seen the city council threaten enforcement action.
A city council spokeswoman said: "The city council is in discussion with the owner in respect of regularising the position. The owners have agreed to submit a planning application and that is being acted upon."
Today, chef Martin Cox (28), of Paynels, Orton Goldhay, Peterborough, said the letter from Cre8 had come as a bolt from the blue: "I wasn't expecting this at all," he said. "We got the impression we had jobs to go back to.
"It's gutting. It's been an absolute nightmare. I saw a light at the end of the tunnel, and then this happens."
Council leader Cllr Marco Cereste said: "It comes as a complete surprise. It's a tragedy. We, as an authority, will do whatever we can. Our aspiration is that the Great Northern Hotel continues."
Despite attempts to contact Mr Power by The Evening Telegraph, we have been unable to speak to him. MP Stewart Jackson said: "The Great Northern has a great heritage and I believe it has got a future."
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