Spode collapse into administration ends 250 years of history (pictures)
CONCERNS have been raised about the future of Stoke town centre after one of the world's most famous pottery brands collapsed into administration.
Spode has been part of Stoke-on-Trent's industrial heritage for almost 250 years.
-
Spode works
But yesterday it called in administrators PricewaterhouseCoopers (PWC), which said the china maker had been hit by the recession and left cash-strapped because of a failure to sell part of its Church Road factory for development.
Spode employs 90 people in North Staffordshire and their future is now uncertain. Most of the workers are at the firm's Lymedale distribution centre, in Newcastle, with the rest producing prestige ware and manning the shop and visitor centre in Stoke, pictured.
Spode's sister company Royal Worcester, which employs almost 300 people in Worcester, has also been placed in administration.
Article continues below
Pictures of Spode through the ages
Matthew Hammond, joint administrator and partner at PWC, said: "Our immediate priority now is to review all options for the company and immediately seek a buyer for the business. The company has been undertaking a restructuring of its business in recent years.
"However, the inability to complete the proposed sale of a site of strategic importance in Stoke and the effect of the current economic downturn on sales has led to the decision by the directors of Royal Worcester & Spode Ltd to place the company into administration."
Business leaders and politicians today urged PWC to find a buyer committed to safeguarding jobs and transforming the unused part of the plant.
Mark Fisher, MP for Stoke-on-Trent Central, said: "Spode is an enormously important company.
"Spode is known all over the world and it would be a tragedy if we didn't value it enough to keep that site and keep Spode going.
"The future of Stoke is dependent on what happens on this site."
Rob McKeon, owner of Harry's Bar in Glebe Street, said: "We were looking forward to the development proposals, which would absolutely transform Stoke, but nothing has happened."
Garry Oakes, assistant general secretary at the Unity union, said: "It's early days and it's my understanding it will be sold as a going concern. But it's very sad indeed."
Pottery collapse another setback for Stoke town centre: See Page 6
12 Comments
View all
by Tom Grainger, Stafford, Staffordshire
Tuesday, November 11 2008, 7:01AM
“I have been buying Spode dinerware for the last 20 years and have been a regular visitor to the factory in that time. I am desperately saddened to hear of the problems at Spode and not confident that the city of Stoke-on-Trent has the leadership or sense to work out an outcome that will be beneficial to Spode and its remaining workforce. I strongly agree on the quality issue: I will not and never buy Spode products that are made overseas because they are unquestionably inferior. The company's decision to outsource its wares has proved disastrous and pivotal in this whole mess.”
by Tony Boulton, Grapevine Texas
Monday, November 10 2008, 2:22AM
“I went to Indonesia 20 years ago and pottery employees were then earning about $30 a month.
Today in Indonesia, salaries vary from US$70/month - US$150/month for the local people.
I don't believe that compares with wages in Stoke, although the quality of what is made there is unquestionably good. That is not the issue.”
by MICHAEL, STONE
Saturday, November 08 2008, 12:40AM
“I agree with a lot of what has been said - but be under no illusion regarding the Far East - the standard of living of their pottery workers is now higher than in the UK,and most important the quality is now there in the majority of cases.I agree with Tony Boulton on the Brand question - but in the current climate - worldwide -price is King! Having just returned from Indonesia I have to say my eyes have been firmly opened.”
by S J, Tunstall
Friday, November 07 2008, 9:54PM
“I went for a meal in Newcastle last week - the plates we are off were had 'made in Australia' on the bottom. How many local companies support each other by buying local? How many of us are buying local produce or British made products? - or do we all look for the bargain price tag and them bleat that our companies have gone into administration?”
by Tony Boulton, Grapevine Texas
Friday, November 07 2008, 8:07PM
“Michael is entitled to his opinion, but I can tell you from the experience of talking to people here in this important marketplace that Spode and Royal Worcester customers don't like the idea of these famous brands being made in China and elsewhere other than England. Outsourcing may be fashionable, but it is pointless if it undermines the credibility of the brand. As I have said before, I can give examples of companies that have invested in technology and succeeded in maintaining competitive production in high cost locations. But from what I saw in a BBC TV clip from yesterday in regard to this tragic event, production methods have not changed one bit since I was a director of a china company 16 years ago.”
by william, Longton
Friday, November 07 2008, 8:04PM
“most off the works have been payed off . thats lot more then 90 . most of the spode product is made in the far east . its a sham for the pottery in stoke on trent as its all going were works will work for a bowl of rice . in time there will be no pottery in stoke / longton / burslem / fenton / hanley and that will not be long”
by MICHAEL, Stone
Friday, November 07 2008, 7:19PM
“As usual outsourcing is portrayed as the villain of the piece.It can be argued that some companies would have gone to the wall earlier had they not outsourced.It does not mean 'cheap imports' it now means a quality product at a lower price.In the final analysis if the product is wrong or inappropriate to current lifestyles then it doesn't really matter where it was made.”
by annoyed, newcastle
Friday, November 07 2008, 5:15PM
“it's about time that the Labour government stood for what it should do - LABOUR. It needs to stop production and industry moving abroad because of cheap wages. The trouble with this is that the quality goes down the pan which, in turn, takes the company with it. It's been going on for far too long now and we should have learned something from it by now - bring back our industries, our pride and our quality. The more job losses we have because of greedy MD's going for a cheaper alternative the less money we actually have to spend on the rubbish that is produced overseas and that's where its all going wrong. Bring back the work and workforce and let's make stoke productive again!!!!!”
by neckender, Longton
Friday, November 07 2008, 4:36PM
“With all of these famous pottery conpanys outsourcing so much of the ware made,it's no longer clear to colletors or people wanting quality just where the prodcut was made,
Was the body made in China or India and just decorated in Stoke? or everything do abroad and just backstamped in Stoke? or was it all done in Stoke, no-one knows. This must be one of the problems that face the buyer or collector.
Just becuase it says oxo on buses don't mean they sell it
This must be a contributing factor to the decline of Stoke's pottery industry”
by march hare, marchington
Friday, November 07 2008, 4:11PM
“Yet another local industry gone down the drain.Sorry to say Stoke is becoming a city of low paid and low skill jobs thanks to low intelligent local government and local mp,s. It will take years to bring the area up with the skills needed to take the area forward. No wonder only service companies come here.”