Phones 4u empire is carved up

Vodafone and EE take over Phones 4u stores following retailer's collapse into administration

Vodafone and EE are set to swoop in on Phones 4u stores, after the retailer collapsed into administration last week.

EE would not confirm any details but it is thought it is going to take on about 60 stores. On Friday it was announced that Vodafone will take on 140 Phones 4u shops, in a move which will save 887 jobs, as the Phones 4u business is carved up.

EE and Vodafone pulled out of their services contract with the fallen retailer ahead of its collapse. Phones 4u founder John Caudwell blamed this for his former company's demise, calling it an "unprecedented assassination" on the BBC's Today programme.

Vodafone and EE's store takeovers come after Dixons Carphone agreed it would offer jobs to all Phones 4u staff working in its Currys PC World concession stores, thought to be about 800 people.

Rob Hunt, joint administrator and PwC partner, said: "We have worked rapidly over the course of the week following our appointment to explore interest in the Phones 4u business and we are very pleased to secure a future for a significant number of stores and continued employment of Phones 4u people."

But the future of thousands of Phones 4u jobs remains uncertain and administrator PwC confirmed last week 628 employees in Newcastle-under-Lyme are losing their jobs.