A CLOTHING company with a shop in Yate has gone into administration.

Fashion chain Bay Trading, which has an outlet on West Walk, faces an uncertain future after credit insurers pulled out when losses were announced last week.

The firm is owned by parent company Alexon, which runs successful brands Ann Harvey and Kaliko.

Bay Trading has 268 stores throughout the UK and employs 1,000 people.

The chain store, which sells discount ladies’ fashion, has been relying on the profits of other brands within the group to survive.

Like for like sales plunged 16 percent as Bay Trading lost £7million last year while the other brands in the Alexon group made profits of £10million.

Alexon said the other brands would not be affected by the decision to go into administration but Jane McNally, chief executive of Alexon, said: "It’s with deep sadness that we’ve reached the position we’re in today.

"Everyone at Bay Trading has worked very hard to try and turn it around."

Accountants Deloitte are expected to be appointed as administrators and will continue trading while they try to find a buyer.

If the Yate shop closes, it will be the third big name to disappear from the shopping centre this year.

In the New Year, both Woolworths and Adam’s children’s clothing chain became victims of the recession and closed up shop in the town.

Other independent traders, including K and W Butchers, LewMarks fruit and vegetable shop and more recently DTB Stationers have also closed.

However, the Gazette revealed last month that shopping centre owners the Dominion Trust had exchanged contracts with the Peacock group to take over the Woolworths site. A Peacocks shop and a Bon Marche store will open in the central store.