THE jobs of up to 49 members of staff at Phones 4u outlets across the borough are at risk after administrators were called in to the stricken mobile phone retailer today (Monday).

Robert Jonathan Hunt, Ian David Green and Robert John Moran of PwC have been appointed as administrators to the leading independent phone retailer, which has stores in Dudley, Halesowen, Stourbridge and the Merry Hill shopping centre and which has been hit hard by EE’s decision not to renew its contract.

Eight members of staff are employed at the Dudley store, plus four at the Phones 4u concession in Dixons Carphone, Dudley; five work at the Halesowen outlet, a further five are based in Stourbridge, while 21 people work at the Merry Hill store and a further six at the Phones 4 u kiosk in the shopping centre.

Phones 4u, which is owned by private equity firm BC Partners, said EE’s decision not to renew its contract, which is due to end in September 2015, was a "complete shock" and meant it would be left without a single network partner after Vodafone said earlier this month it would not extend its agreement.

The business, which closed all of its stores today pending a decision by administrators on whether it can re-open for trading, operates more than 700 outlets and employs 5,596 employees across the country.

As well as its retail operations, P4U also runs its own network operator, Life Mobile Limited, which is also in administration.

Rob Hunt, joint administrator and PwC partner, said: "This is a very sad day for the business and the many people working there. In light of our impending appointment the directors understandably took the decision to close all the shops today and sent many staff home.

"Our initial focus will be to quickly engage with parties who may be interested in acquiring all or part of the business, and to better understand the financial position and options for the company. The stores will remain closed while we have these conversations.

"We will also be talking to network operators and suppliers, and trying to access funds to pay for the costs of the business, including wages.

"These conversations will determine whether we can re-open stores and trade, and also if and when we can pay the arrears of wages to employees. Our hope is that we will be able to pay all the outstanding wages arrears.”