Palletways and Nigel Rice Transport parted company at the end of last year due to concerns about the now collapsed operator’s ability to meet its network commitments.

Nigel Rice Transport, which had been trading under a Company Voluntary Arrangement since March 2013, ceased trading and was placed into liquidation last week after a meeting of creditors (17 January).

In response, a spokesman for Palletways said: "We deeply regret to hear of the announcement that Nigel Rice Transport has stopped trading and can confirm that the company left the Palletways UK network before Christmas.

"This was a mutual decision based on the company’s ability to meet its requirements as a Palletways member.”

The collection and delivery areas in Hull covered by Nigel Rice Transport are currently being covered by Palletways members Hastings Freight, Walkers Transport, John Reid Trucking and Ward Bros.

“This has ensured a seamless transition and business as usual for our customers," the Palletways spokesman said.

Liquidation

The liquidation of Nigel Rice is being handled by BWC Business Solutions.

Richard Marchinton, insolvency administrator at BWC Business Solutions, said: "The CVA was set up to provide the company with some respite. However, due to a continuing decline in trade the firm has now entered liquidation."

Nigel Rice Transport was licenced to run up to 40 vehicles and 40 trailers at the Swinemoor Industrial estate in Beverley, as well as eight vehicles and five trailers from Alpha Court, Thorne.

In February of last year it revealed it had won a nationwide distribution contract with DIY product manufacturer Bartoline.

Director Nigel Rice could not be reached for comment.

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