Shopping television channel Ideal World has gone bust, with the majority of its 275 staff to be laid off, two days after it suddenly went off-air.
Administrators at Kroll have taken over the business, which operates a shopping TV channel as well as online shopping services.
Michael Lennon, managing director of Restructuring at Kroll, said the collapse was down to a change in consumer habits away from television shopping.
“Over the last few years, the Direct Response TV (DRTV) sector globally has suffered a decline in viewer and customer numbers as consumer spending habits changed.
“Whilst Ideal World TV had brought in a significant number of new brands and retail partners to the channel over the last year, overall trading was not strong enough for the business to continue in its present format.
“Our immediate priority is to provide support to all the employees impacted by the Administration.”
Ideal World’s channels went off the air on 3 July, while its website was also unavailable.
“We regret to inform you that Ideal World has had to temporarily suspend broadcasting and our website,” a message on its website said. “We’re sorry for any inconvenience caused. We hope to be back online as soon as possible.”
Ideal World employed 275 people at its Peterborough head office and its turnover for last year was £55 million.
Kroll said: “It is the intention of the Joint Administrators to work with the remaining employees to complete an orderly wind-down of the business. Existing customer orders will be fulfilled where possible.”
The business was taken over by entrepreneur Hamish Morjaria last year, but filings show that he show ceased to have “significant control” in February.
