By Matthew Legg

Last updated 14:37, Wednesday, 01 October 2008

Staff at a Workington home furnishings store have still not been told whether their jobs are safe as a buyer is sought for its owner.

Rosebys fell into administration last week after it hit difficulties because of the economic downturn and the subsequent collapse in consumer spending.

Insolvency experts KPMG LLP have been called in to run the business, which sells items such as duvets, bed linen and curtains.

A buyer is being sought for the whole or parts of the business.

The firm employs 2,000 people in 280 stores, including at the Derwent Howe industrial estate, Workington, and Hindpool Road in Barrow.

The business was acquired by India-based textiles firm GHCL in July 2006. In the year to March 31, Rosebys made losses of £6m and has remained in the red since.

Joint administrator Howard Smith said: “The business is continuing to trade as normal while we review the financial position and seek a going concern sale.

“No employees have been made redundant to date.

“In common with many retailers, the group has experienced difficult trading conditions, leading to continuing losses.

“Rosebys has recently sought to re-finance, but this did not prove possible in the current economic climate.

Mr Smith added: “We are looking for offers for the whole or any part of the business.”

n Meanwhile, figures have shown the UK economy saw no growth in the second quarter of 2008.

Data from the Office for National Statistics (ONS) showed economic output remained the same as in the first quarter, confirming previous estimates.

Growth was zero per cent in the second quarter even lower than the 0.3 per cent figure for the first quarter of 2008.