Mass redundancies as Rea Valley Tractors enters administration

Major tractor and machinery dealer Rea Valley Tractors (RVT) has been placed into administration alongside Dunstall Holdings, following weeks of speculation.

The firm has made 149 of its 169 employees redundant and is due to be wound down in the coming weeks.

RVT was operating across seven branches in the Midlands, North West and Wales, and had been battling to keep afloat due to challenging trading conditions and inflationary cost pressure.

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Its most recent financial accounts at Companies House showed a pre-tax loss of £6.66m, for the year ending 31 December 2023.

RVT had been working to secure a full or partial sale of the businesses, but no viable offers were received.

Earlier in September, the firm also lost its partnership with key supplier JCB, which appointed replacement dealers in its place.

Tim Higgins, Edward Williams and Jane Steer of accountancy firm PWC have been appointed as joint administrators to oversee the winding down process.

Mr Higgins said: “Rea Valley tractors is one of the most recognisable names in the local agricultural industry and it is with great sadness that it has entered administration today along with Dunstall Holdings.

“Regrettably, 149 employees have been made redundant – we know how unsettling this will be for the people affected, as well as the group’s customers at this important time of year, and we will be providing all parties with the necessary support.”

Major tractor manufacturer New Holland also issued a statement on 10 September confirming that Rea Valley Tractors, which acted as a dealer for the company, had ceased trading.

A spokesman for New Holland said: “We would like to reassure all our customers that you can continue to contact any local New Holland dealer for any New Holland issued warranty, equipment servicing and new equipment purchases.”

Kuhn Farm Machinery, which had also previously worked with Rea Valley Tractors, has appointed RVW Pugh to act as its new dealer in the region with immediate effect.

Sian Pritchard, Kuhn UK’s managing director, said the company had made sure new and existing customers remain fully supported, adding that the appointment of RVW Pugh had filled a recent gap in its dealer coverage.

She said: “Working with, and having easy access to, a supportive and dedicated dealer is a primary consideration for farmers and contractors.

“We’ve been proactive to ensure any impact felt by our customers, in light of these announcements, is minimal.”