Council concern at more than 1,000 Exertis job cuts

Plans by specialist distributor Exertis to cut more than 1,000 jobs raise questions about its new private equity owners, a council leader has said.

Staff in Basingstoke, Burnley, Elland and Harlow were reportedly told on Wednesday that 1,200 roles would be reduced to 130, subject to consultation.

Dr Paul Harvey, leader of Basingstoke and Deane Borough Council, said the "shock" news raised questions about private equity firm Aurelius, which announced a takeover in July.

Exertis did not respond to BBC requests for comment.

The Independent councillor said: "It is deeply concerning, especially right on top of Christmas for all the employees affected.

"It's a shock that this has happened and people deserve a full and transparent disclosure from the private equity owners and also those who sold the company in the first place."

In July, Aurelius said it would acquire Exertis UK, based in Burnley, and its Ireland division, based in Dublin.

It said the technology distributor contributed about £2bn in revenue to its previous owner DCC plc in the previous year.

In a statement announcing the deal, the private equity firm said: "Aurelius sees significant earnings growth potential for the business... enhanced by a recovery in market demand."

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