ECONOMIC problems in Russia and the Far East could lead to the loss of 270 local jobs. (From Warrington Guardian)

ECONOMIC problems in Russia and the Far East could lead to the loss of 270 local jobs.

Business specialists KPMG have been brought into Fine Art Wallcoverings to try to sell the business as a going concern.

Yesterday (Tuesday) KPMG spokesman David Chadwick said that recession, problems at Fine Art's Canadian parent company and loss of sales had led to the century-old-firm's difficulties.

And he warned that despite the proposed sell-off there wasn't a guarantee that all the jobs would be saved.

"We have had significant levels of interested parties considering buying it and we are still giving tours around the company," said Mr Chadwick.

"We are confident of being able to sell it as a going concern but we can't guarantee that all the jobs will be kept."

Fine Art Wallcoverings has an annual turnover of £28m and is one of the oldest and largest employers in Holmes Chapel.

But in 1996 130 jobs were cut at the company which manufactures wallpaper and fabrics. This week local borough Clr Rab Parry said there was widespread concern in the village about the possible loss of more jobs.

"It certainly will have a considerable effect on the village if it goes," he said.

"There is a long tradition in Holmes Chapel that we have had a wallpaper factory."

Many local suppliers, who are owed money by the firm, are now waiting to see what fraction of their bills may be paid.

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