Durham County Council has offered support to people who have lost jobs following the liquidation of County Durham firm Crafter’s Companion.
The Newton Aycliffe company, founded by former Dragon’s Den and Strictly Come Dancing star Sara Davies while she was a student, has merged with its largest customers after a difficult few years. The move has resulted in 42 job losses at its headquarters and another 16 at its remaining store.
Brand to continue trading
The Crafter’s Companion brand name and its website are not part of the liquidation and will continue to trade as normal, with Sara Davies remaining closely associated with the business. It is hoped that, once the merger has completed, an office will be established in the North East.
Reacting to the news, Durham County Council deputy leader Darren Grimes said: “It’s incredibly disappointing to hear of further job losses in County Durham, this time at Crafter’s Companion following its entry into liquidation.
Support for affected employees
“This is a very difficult time for the 42 employees who have been made redundant in Newton Aycliffe, as well as others elsewhere in the country. The fact this news comes so soon after announcements of closures and potential job losses at other major employers in the area, including Clayton Glass in Annfield Plain, Greggs in Seaham, Erwin Hymer Group in Consett and NSK in Peterlee, is especially concerning.
“We are committed to doing everything in our power to support those affected through our Employability Durham and Business Durham services.
Background and future plans
“We continue to lobby the Government and the North East Mayoral Strategic Authority to invest in protecting existing jobs and industries in our area. We’re also pressing for a sustainable employment support funding settlement for Durham, which recognises the need within the county and enables us to support people when job losses are unavoidable.”
The company’s liquidation marks the end of a turbulent period for the business, which Ms Davies returned to at the end of 2024 when it was close to collapse. Working with investment group Modella, she kept the firm going and saved most of its jobs.
A second deal in 2025 saw Modella sell its holding in the company to Maven Capital Partners, with Ms Davies increasing her shareholding in the company. Ms Davies, who has increased her TV work in recent years, stepped back from the day-to-day running of the business at that point, but remained associated with it.
