The ATS Euromaster garage in Hexham is slated for closure as part of a wider UK-wide operational wind-down. This decision puts three local jobs at risk, contributing to a larger potential redundancy of 703 roles across the company’s network. The closure is anticipated to occur on or shortly after May 1, 2026.
Key Takeaways
- Hexham’s ATS Euromaster branch is among 103 UK centres set to close.
- Three local jobs are at risk of redundancy.
- The company cites intense market competition, sluggish sector activity, and rising costs as reasons for the closure.
- The potential closure affects only ATS Euromaster in the UK, not the wider Euromaster Group.
Reasons for Closure
ATS Euromaster has announced proposals to shut all its remaining 103 UK centres due to persistent financial losses. The company attributes this decision to a challenging motor services market, characterised by intense competition, subdued activity, and escalating operational costs. Despite previous efforts to improve financial performance, including the closure of 86 unprofitable sites last year, the business has been unable to find a viable path to profitability.
Impact on Local Jobs
The proposed closure of the Hexham Haugh Lane site means that three local employees are at risk of redundancy. While 35 sites are earmarked for transfer to Formula One Autocentres and another 14 to S&M Tyres (Elite Garages), with 216 employees expected to transfer under TUPE regulations, the Hexham branch is not included in these proposed sales.
Company Response and Support
Nick Harley, Group Managing Director, described the announcement as a "difficult moment" for the company and its workforce. He acknowledged the significant impact on employees, their families, and the communities served by ATS Euromaster. The company stated that its priority is to treat all affected employees fairly and respectfully. A comprehensive support package is being developed as part of the ongoing consultation process, which will include access to an employee assistance programme and outplacement support. Additionally, 13 mobile night technicians are expected to transfer to sister company Tructyre, with Tructyre vacancies being offered as a priority to reduce compulsory redundancies.
Alternative Opportunities
In separate news, Halfords has offered interviews to all staff affected by the service centre closures and is encouraging customers of closing ATS branches to use their nearby workshops. For Hexham drivers, the closest Halfords is located on West Road in Newcastle.
Sources
- Hexham ATS Euromaster jobs at risk as business set to close, Hexham Courant.
