TV Location star hit by the crunch

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The Location, Location, Location presenter is not even giving workers pay-offs, according to one former employee of his company Garrington Home Finders, a firm used by stars such as Kylie Minogue and Keira Knightley.

The ex-staff member was told to claim state redundancy yesterday by the firm's managing director. There are fears that all eight staff at the offices in Chelsea could lose their jobs.

It is believed that Garrington, of which Spencer, 39, is founder and director, is in talks with administrators MCR, which handled the collapse of MFI. A buyer is being sought, but if no one is found Garrington could go under.

The property slump forced Garrington to close its Cheshire office in November.

Garrington's head of client services, Tim Johnston, told the Daily Mirror: "There is the distinct possibility of an investor coming in and the business will continue. We are waiting on final confirmation."

He said he was not aware of anyone being made redundant but added: "I know there's some letters due to go out but I don't know the content of each one."

Spencer and his wife Fiona, 40, founded the firm in 1996 and are its sole directors. The company helps clients find a home and guides them through the buying process, as Spencer and co-presenter Kirstie Allsopp do on their Channel 4 show.