Last-ditch deal to save cash and carry king

Palmer & Harvey was founded in 1925 to supply tobacconists and sweet shops It now has 4,000 staff working in 63 depots supplying 12,000 products The firm makes 48,000 deliveries a week, supplying 90,000 shops It owns 71 Central Stores newsagents in the South The company lost £17.3m last year lost £17.3m in the year to April 2016, the most recent period for which figures are available, after an £8.5m loss the year before. Profits were hit by a deal with budget retailer Costcutter, which took over 800 of P&h’s Mace, Supershop and Your Store outlets. This took longer to go through than predicted, landing the firm with an unexpected £10.7m bill.

Imperial said: ‘We have been working, with other stakeholders, to seek to create a sustainable future for Palmer & harvey, with whom we have a close trading relationship.’

P&h and Carlyle Group declined to comment last night, while Japan Tobacco International confirmed that it would be supporting the business.