International Decorative Surfaces (IDS), a prominent name in the UK’s decorative surfaces industry, has filed a notice of intention to appoint administrators, raising serious questions about the company’s future. IDS, known for its ownership of major brands like Showerwall, Splashpanel, and Proplas, is now at a critical juncture, which could impact the broader industry, particularly bathroom and kitchen companies that rely on its products.
With over 500 employees and a revenue stream close to £80 million, IDS has long held a strong market position. However, its recent move into administration could have far-reaching effects on its business, its employees, and the industry at large. What will become of its big-name brands? And how will the kitchen and bathroom sectors cope with potential supply chain disruptions? Let’s explore the situation in depth.
The Legacy of International Decorative Surfaces (IDS)
Who Are IDS?
International Decorative Surfaces (IDS) is a cornerstone in the UK’s decorative surfaces market, providing a vast range of products that have become staples in the construction, home improvement, and design sectors. Founded in 1999 after the merger of Meyer Laminates and L Bloom, IDS quickly became a major distributor of everything from flooring to wall panels. However, the company is perhaps best known for its Kitchen Worktops, Toilet Cubicles, Flooring, composite decking and ownership of popular brands like Showerwall, Splashpanel, and Proplas, which have become go-to choices for bathroom and kitchen installations.
Showerwall, Splashpanel, and Proplas: What Will Happen to These Brands?
One of the burning questions surrounding IDS’s move into administration is the fate of its well-known brands, particularly Showerwall, Splashpanel, and Proplas. These brands have a significant presence in the bathroom and kitchen industry, offering high-quality wall panels, splashbacks, and decorative surfaces that are integral to many renovation and construction projects.
As IDS enters administration, the future of these brands remains uncertain. Will they be sold off to another company or continue under new ownership? It’s too early to say. However, any disruption to these brands could lead to serious supply chain issues for businesses that rely on their products.
A Diverse Product Range: Flooring, Worktops, and More
Beyond its proprietary brands, IDS offers a wide range of products that have made it a leader in the decorative surfaces market. The company specializes in products such as flooring, laminates, compact panels, solid surfaces, worktops, and composite decking. These products are used in residential, commercial, and industrial projects across the UK, making IDS a vital player in the supply chain for construction and home renovation.
How Will Bathroom and Kitchen Companies Be Affected?
The administration of IDS poses a significant challenge to bathroom and kitchen companies that rely on the distributor for key materials. IDS’s popular brands, Showerwall, Splashpanel, and Proplas, are widely used for kitchen worktops and bathroom wall panels. Should these brands become unavailable or experience production delays, many businesses could struggle to fulfill customer orders and complete installations on time.
The sudden shortage of these products could also drive up prices, creating further difficulties for both businesses and customers. For companies that specialize in kitchen and bathroom design, the loss of a key supplier like IDS could force them to seek alternative sources, which may not match the quality or price point offered by IDS’s established brands.
The Financial Backbone: Revenue of £80 Million
IDS reported revenue of nearly £80 million in its most recent accounts, highlighting the company’s robust market presence. Such financial success underscores the demand for its products across various sectors. However, even with this impressive revenue stream, IDS has now found itself in financial difficulties, prompting its move towards administration.
Why Did IDS File for Administration?
While IDS has not officially disclosed the reasons for filing for administration, several factors could have contributed to its current predicament. Economic pressures, competition, and challenges stemming from its 2022 management buyout are likely among the causes. The broader UK economic climate, which has been impacted by inflation and supply chain issues, may also have played a role in the company’s decision to seek protection through administration.
A Closer Look: The 2022 Management Buyout
From Subsidiary to Independent Ownership
In 2022, IDS underwent a significant transformation when it completed a management buyout, transitioning from being a subsidiary of the French multinational Saint-Gobain. Backed by investor Chiltern Capital and supported by Secure Trust Bank Commercial Finance, the buyout was seen as an opportunity for IDS to chart its own course and expand its business without the constraints of corporate oversight.
At the time, managing director John Bagshaw was optimistic about the company’s future, but following his retirement in December 2022, the company’s financial troubles seem to have escalated. The management buyout, once hailed as a fresh start, may have inadvertently contributed to the challenges that IDS now faces.
What Went Wrong After the Buyout?
While the buyout offered new opportunities, it also came with increased risks. No longer supported by the resources and infrastructure of a major corporation like Saint-Gobain, IDS had to navigate the competitive market on its own. The pressures of operating as an independent entity, coupled with economic headwinds, may have left IDS vulnerable to financial instability.
Major Changes to IDS Leadership in 2023
Leadership Reshuffle Amid Market Challenges
In April 2023, IDS made significant changes to its leadership team, bringing in a new sales director, a marketing and commercial director, and a finance director. CEO Andy Sutton expressed confidence that the new team would “strengthen [the company’s] foundation for future growth.” However, despite these efforts, IDS’s financial issues have culminated in the filing for administration just months later.
The Impact of Leadership on IDS’s Financial Health
The timing of the leadership changes may not have been ideal. As new executives took the reins, the company was already navigating a complex and competitive market. While leadership changes can bring fresh perspectives, they can also create challenges as the new team works to understand and adapt to the business’s intricacies.
The Filing for Administration: What Does It Mean for IDS’s Future?
What Happens During Administration?
Filing for administration allows a company to seek protection from creditors while a plan is developed to either restructure its debts, sell its assets, or find a buyer. For IDS, this means that the company has some breathing room to figure out its next steps, but the future remains uncertain.
The Impact on Employees: Over 500 Jobs at Risk
What Will Happen to IDS Employees?
With over 500 employees on its payroll, IDS’s move into administration could lead to widespread job losses. Employees will be closely watching the administration process to see whether the company can be saved or if parts of the business will be sold off.
Support for Employees During Administration
If the company proceeds with administration, employees will be entitled to certain protections under UK employment law, including potential redundancy payments. However, the uncertainty surrounding the future of IDS will undoubtedly cause concern for its workforce.
The Future of IDS: What Comes Next for Its Brands and Products?
Can IDS’s Big Brands Be Saved?
One of the key questions surrounding IDS’s administration is the fate of its flagship brands, including Showerwall, Splashpanel, and Proplas. These brands have become synonymous with quality in the bathroom and kitchen sector, and their loss would create a gap in the market. While it’s possible that these brands could be sold or continue under new ownership, their future is unclear.
Will Bathroom and Kitchen Companies Find Alternatives?
With IDS going into administration, many bathroom and kitchen companies may struggle to source the materials they need for upcoming projects. Finding alternatives to Showerwall, Splashpanel, and Proplas could prove difficult, especially for businesses that rely on these brands for high-quality, affordable products.
Conclusion: A Critical Moment for IDS
The future of International Decorative Surfaces and its well-known brands like Showerwall, Splashpanel, and Proplas hangs in the balance. As the company enters administration, the impact will be felt across the industry, particularly by bathroom and kitchen companies that rely on IDS for key materials. The next few months will determine whether IDS can restructure, sell its assets, or be saved, but one thing is clear: the stakes are incredibly high.
FAQs About IDS and Its Administration
1. What is administration?
Administration is a legal process designed to help insolvent companies restructure their debts or sell off assets in an orderly fashion. It provides the company with temporary protection from creditors while a plan is developed.
2. What happens to Showerwall, Splashpanel, and Proplas?
The future of these brands is uncertain as IDS enters administration. They may be sold or continue under new ownership, but their availability could be disrupted in the short term.
3. How will IDS’s administration affect bathroom and kitchen companies?
Many companies that rely on IDS’s products, particularly for kitchen worktops and bathroom wall panels, could face supply chain disruptions, making it difficult to fulfill customer orders and installations.
4. What will happen to IDS employees?
Employees may face redundancy as part of the administration process, but they are entitled to certain legal protections.
5. Can IDS be saved?
It’s possible that IDS could be restructured or sold as part of the administration process. However, this will depend on the company’s financial health and the interest of potential buyers.
6. What products does IDS specialize in?
IDS offers a wide range of decorative surface products, including flooring, worktops, laminates, wall panelling, and composite decking, along with its proprietary brands Showerwall, Splashpanel, and Proplas.
Bathrooms - Kitchens 
brilliant article !! Helped me to understand the current situation !
I am a IDS employee at present
Thank you and regards
Steve