ABOUT 45 people have lost their jobs after a Malvern-based electrical engineering company went into administration.

Skot Transformers, which has operated in the Malvern area since 1963, supplied components for the electrical and electronic industries and was based in Upper Colwall with a factory in Malvern Link.

Director David Parkinson blamed a 90 per cent fall in sales since September 2008 caused by the credit crunch, coupled with a severe slowdown in the wind turbine industry – one of its primary markets.

He remained hopeful that administrators – Stephen Derek Smailes and Conrad Beighton of Shipleys LLP – would find a buyer for the business.

Mr Parkinson said: “We tried a company voluntary arrangement, which was put in place in July, but sales figures continued to fall. It reached the stage in December where we had very low levels of sales going out the door.

“When we reached December, we effectively ran out of money.”

Mr Parkinson said about 45 staff, the majority of whom were full-time, were informed on Tuesday they no longer had jobs with the company.

He said: “It was very difficult. I felt very sorry for them that they were losing their jobs. I do thank them for all their efforts, wish them the best of luck in the future and hope someone purchases the business.

“We have still got the knowledge and technology at Skots but have not got the sales.”

The company employed 88 people at its peak in September 2008, but this had been reduced to the equivalent of about 45 jobs through natural wastage.