THE future of one of Kendal's best-known shops was thrown into doubt this week as department store company Beales went into administration.

The Bournemouth-based chain failed to find a last-minute buyer to rescue the 139-year-old business.

More than 1,000 jobs are thought to be at risk, as administrators from KPMG step in to see if the business can be saved.

Yesterday the Beales website announced a "closing down" sale, stating "Everything must go!" at its 23 stores.

As reported by the Gazette, Beales put itself up for sale last December. Its three-floor fashion, beauty and homewares store in Kendal - formerly JR Taylor and originally Musgroves - has been a fixture on Finkle Street for 161 years.

“This is really sad news," said Westmorland and Lonsdale MP Tim Farron, "especially for all the staff that work there who face the bleak prospect of losing their jobs.

“Surely now is the time for the Government to wake up to the crippling effect business rates are having on our town centres.

“Instead of faffing around with the odd pot of money here and there for certain towns, we urgently need to see real reform and consider scrapping business rates altogether so retailers like Beales are given the best possible chance of staying in business.”

South Lakeland District Council said it has offered to meet with Beales to discuss practical ways it could help.

"We were saddened to see the news from Beales that it has appointed administrators," said Cllr Robin Ashcroft, portfolio holder for economy and culture.

"We understand the store in Kendal will continue to trade and the council will continue to do all it can to support Beales and its staff in the Kendal store."

Beales is the latest big name to suffer from a downturn in the high street's fortunes. The British Retail Consortium has described 2019 as "the worst year on record" for retail sales.

Will Wright, joint administrator at KPMG, said: "With the impact of high rents and rates exacerbated by disappointing trading over the Christmas period, and extensive discussions around additional investment proving unsuccessful, there were no other available options but to place the company into administration."

Cllr Ashcroft, of SLDC, told the Gazette: “We are aware that Beales’ CEO has made comments about some councils and central government not being supportive in discussions about business rates and rents.

“SLDC had not been approached by Beales for advice or support prior to the warnings about administration being issued and we should point out that we do not set the business rates.

"Business rates are set by central government; SLDC only collects them on behalf of the government and there are strict ‘state aid’ rules that restrict our ability to offer rate relief.

“We also understand Beales owns the building in Kendal, so renegotiating rent was not an issue here.

“We are acutely aware of the challenges facing the high street, which has seen a significant loss of retail nationally, and recognise that while much of South Lakeland remains economically buoyant our high streets, especially national retailers, are not immune to these pressures.

“That is why we are actively working on a wide-ranging Kendal town centre strategy, are working with Kendal Futures on their Vision document and have now secured the support of a high street ‘task force’ to look at the very real issues facing our retail businesses.

“We will be happy to work with administrators as they look to secure a positive outcome for the Beales store and its staff in Kendal.’’

A Government spokesman said they were "in direct contact" with the CEO of Beales and officials were "monitoring the situation closely".

The former Musgroves department in Kendal opened in January 1859. It joined the Beales chain 20 years ago. The Gazette understands Beales owns the Finkle Street premises.

In March 2019, the Kendal shop reopened after a £100,000 refit. Beales' owner Tony Brown told the Gazette at the time: "We believe very strongly in Kendal and wanted to make an investment in the store."

“As soon as we heard the warnings about administration last week we offered to meet with Beales to understand key issues and practical ways that the council could help. Will still hope that a meeting can be arranged.

“We also contacted the Cumbria Local Enterprise Partnership (LEP) to see if they could offer further assistance.