Nottingham Rehab Limited, which trades as NRS Healthcare, is being wound up after a court appointed the official receiver, Gareth Jonathan Allen, as liquidator on Friday (August 1).
The NHS Humber and North Yorkshire Integrated Care Board (ICB) has a contract with NRS Healthcare to provide wheelchair services in York and North Yorkshire.
An NHS Humber and North Yorkshire Integrated Care Board spokesperson told The Press: “Wheelchair service users in York and North Yorkshire should continue to contact NRS in the usual way.”
The official receiver will help transfer the wheelchair services to a new provider once its new contract arrangements are in place with the ICB.
It is understood that discussions between the ICB and alternative providers are ongoing.
Following an application made by Mr Allen, the court appointed Mark James Tobias Banfield, Edward Williams, Helen Laura Wheeler-Jones, Adam Seres and David James Kelly of PricewaterhouseCoopers (PwC) as special managers of the companies.
The special managers have been appointed to assist the official receiver with the liquidations.
Mr Allen will wind-up the companies in accordance with his statutory duties, the Insolvency Service said.
“He also has a duty to investigate the cause of each company’s failure and the conduct of current and former directors,” it added.
PwC, a London-based professional services firm, said Nottingham Rehab Limited and NRS Healthcare had been “unable to achieve a restructuring and as a result, both have been placed into liquidation”.
The PwC website states that Nottingham Rehab Limited and NRS Healthcare had been “facing a number of difficulties over the last few months”, adding: “Unfortunately, NRL [Nottingham Rehab Limited] and NRS have been unable to achieve a viable solution to save the business.”
It said company employees “still have a job” and “will be paid for work done”.
“In the meantime we are reviewing next steps and we will communicate on these as soon as we are able,” the PwC website states.
“The message is that you should continue to turn up to your normal place of work and continue to take instructions from your line manager unless you are told otherwise.”
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Nottingham Rehab Limited’s annual accounts filed on Companies House and dated March 31 last year reported an operating loss of £5.6 million in the relevant period.
The company’s directors, however, were “satisfied with the results for the period”, according to the accounts.
A government spokesperson said: “We are working closely with local authorities to keep patients safe, ensure continuity of care and minimise disruption as alternative arrangements are finalised.
“This includes working closely with the Insolvency Service to allow NRS Healthcare to continue trading for a limited period to ensure a smooth transition.”
The Press has contacted NRS Healthcare for comment.