SIXTEEN jobs in Crewkerne are set to be axed after the company which owns the Budgens retail store went into administration.

No final date for closure of the store at Falkland Square has been announced, but it is understood it will be happening in the coming weeks, with staff selling products at reduced prices.

Food Retailer Operations Limited (FROL) employs 872 people across the UK under the Budgens brand, including 16 in Crewkerne.

The store was taken over from the Co-op in July 2016, and also previously traded as Somerfield.

Jack Raison, 27, deputy store manager at Budgens, confirmed the store was to close, although staff had been given no final date.

He said: “We haven’t been given a final closing date, but we are selling the stock at reduced prices, so we don’t think it will be too long.

“We are all OK, we are all sort of dealing with it, it’s what happens sometimes. A few of us here have been through it before so it’s no big deal.”

Michael Denny, Robert Moran and Matthew Hammond of PwC were appointed as joint administrators of FROL on February 10.

A spokesman for PwC said: “Following their appointment, the administrators have been assessing interest in the business and formulating appropriate trading strategies.

“This exercise will continue over the coming days and weeks.

“A decision has been made by the administrators to offer discounts across all stores in the portfolio to support this strategy.”

Thirty-four Budgens stores were placed at risk of closure after administrators were called in, with many now set to close.

Mike Denny, joint administrator at PwC, said: “Our trading strategy reflects our continued focus on engaging with interested parties, while seeking to optimise trading performance across all stores.

“We will continue to evaluate our strategy as the sale process progresses over the coming days and weeks.”

As well as the 34 stores which now face the threat of closure, FROL also holds the leasehold interests in a further 36 non-trading stores, two non-trading properties and the head office of the former Somerfield business.

Since its acquisition of the stores from Co-op in July 2016, the Company has experienced difficult trading conditions. This has resulted in the Company being placed into administration despite sustained efforts to make the business more commercially viable.

“FROL has faced significant headwinds in the form of pricing pressures, intense competition and structural change across the food retail sector.

“We are continuing to trade all 34 stores, while engaging with interested parties for the sites and the other leasehold interests of the company. We will work closely with the employees over the coming weeks.”